Running a Trial Balance and Retained Earnings Analysis

Let me share some info about getting the Retained Earnings details in QuickBooks Online (QBO), @andy-bate.

Retained Earnings (RE) are the residual net profits after distributing dividends to the stockholders. Thus, to calculate this on the Balance Sheet (BS), you need three items as per the formula:

• Beginning period retained earnings (This can be found in the balance of the previous year, under the shareholder’s equity section on the liability side)
• Current year net profit/loss
• Dividends paid (cash and stock dividends)

For more info, check out this write-up: RE Formula: Definition, Formula, and Example.

To verify this, I'd suggest running the Profit and Loss report by year. This report shows all of the transactions that make up the net profit or loss that QBO automatically switched to your Retained Earnings account.

Here's how:

1. Go to Reports.
2. Locate and select the Profit and Loss report.
3. In the open Profit and Loss report, select Customize.
4. In the Customize report panel, select the Rows/Columns item to open the section.
5. From the Columns drop-down list, select Years.
6. Select Run report.

You can check out our this article for more information: How to view Retained Earnings account details in QBO.

Fill me in should you need further assistance with calculating your Retained Earnings account on the Balance Sheet report. I'm always here to help you.