My customer paid my cash for an HVAC install, I will not be depositing to my bank. How to I record the cash to my "Install Income" account so its shows up on my P&L?

Hi there, @growlanser99. Transactions will flow into your Profit and Loss report for as long as they're accounted properly to the right income account. I can think of a couple of ways for you to record your customer's cash payment in QuickBooks Online.

You'll need to first add the Install Income account to your Chart of Accounts and a service item for HVAC Installation for tracking purposes. Then associate both of them when creating the item. See the image below for a visual guide:

 If you haven't sent an invoice to your customer, I recommend creating a sales receipt. Then, make sure to choose Undeposited Funds in the Deposit to field. This will achieve your goal of not depositing the cash into your bank account. Here's how:

1. Click on the +New button and select Sales receipt.

2. Choose the customer's name from the drop-down.

3. In the Payment method, hit Cash.

4. Pick the HVAC Installation item under Products/Services.

5. Fill out other needed information.

6. Once done, click on Save and close.

However, if you issued an invoice for the service, you can make a payment and put it in the Undeposited Funds account as well. You'll also have to ensure the same thing when it comes to the Payment Method and the Deposit to field. Follow the steps below to do so:

1. Click on + New.
2. Hit Receive payment.
3. In the Customer dropdown, select the name of the customer.
4. Navigate to the Payment method dropdown, and pick the Cash payment method.
5. From the Deposit to dropdown, choose the Undeposited baccount.
6. Go to the Outstanding Transactions section, and tick the checkbox for the invoice you're recording the payment for.
7. Click on Save and close.

Finally, you can now review your desired data on the report. I've added screenshots below for reference:

If you've already decided to deposit the payment in the future, simply go to the Bank deposit area and check the transaction you want to add from the Select the payments included in this deposit section. Make sure to also pick the appropriate bank account from the Account field.

If not, you can set up a clearing account. You can use this to move money from one account to another account when you cannot move the money directly. It normally has a balance of $0.00 because you always take out the same amount that you put in. It may also be called a Barter or Wash Account. See this for the detailed steps: How to create and use a clearing account in QuickBooks Online. Furthermore, I suggest getting in touch with your account for further guidance and other options. This is to make sure your books are in order.

You may as well want to know how to customize invoices, estimates, and sales receipts in QuickBooks Online.

Please let me know if you have other concerns with this matter or QuickBooks in particular. We'll make sure to respond as soon as we can. Keep safe.