How to clear an accrued liability

Hello @Fishbowl and thanks for being a member of the QuickBooks family!

Accurate bookkeeping is crucial to ensuring that your books are balanced, especially when it comes to your year end. I appreciate the hard work you're putting in to ensure that everything is accounted for. I want to point you in the right direction to adjust the balance that you're seeing.

When it comes to adjusting the balance of an account in the previous fiscal year, after the books were likely closed, a journal entry is likely the best course of action. Creating a journal entry is easy, and I'd like to show you how:

1. Hit the + New button.
2. Choose Journal entry.
3. On the first line, choose an account from the Account field. Enter the amount in the Debit or Credit column. 
4. On the next line, select the other account you're moving money to or from. Again, enter the amount in the opposite Debit or Credit column.
5. Check to be sure that the same amount has been entered in both the Debit and Credit columns. This means the accounts are in balance.
6. Enter relevant details using the Memo field so you'll remember why you made the entry.
7. Hit Save and close to finish up.

When it comes to selecting specific accounts and choosing which to debit or credit it'd be best to consult with your accountant. They'll be able to advise you on the best accounting practices for your business. If you're not yet working with an accountant, the My Accountant tab in QBO features the Find a pro to help button, where you can navigate through our database of QuickBooks-certified accountants that are ready and willing to assist you. You can also use this same page to send an invitation to your current accountant so that they can work on your books with you.

With a little assistance I know you'll get to the bottom of this and have it sorted in no time. Have a great evening!