Need to find out why invoices are creating a unapplied cash category

Thank you for posting here in the Community, Robin. Let me provide some information about the unapplied cash payment income account.

Unapplied cash payments typically appear when a payment, initially deposited in the bank, is later applied to an invoice. They appear in the report until the invoice's payment date, not the bank deposit date. These are the following reasons why you see the account on the financial statement:

• A customer prepaid you, and you recorded the payment before creating the sales form (invoice or sales receipt).
• You entered payments without matching them to sales forms.

Also, the payment date is when you applied the deposit to the invoice. If this date falls outside your Profit and Loss reporting period, it's recorded as unapplied cash payment income.

To fix this, let's build the report and apply the payment. Here's how:

1. Go to the Reports menu.
2. Enter Open Invoices in the search bar.
3. Set the correct date range and choose Run Report.
4. In the Transaction Type column, look for a transaction listed as a Payment.

If the payment matches an open invoice, perform Step 2 in this article: Unapplied cash payment income on your profit and loss. Otherwise, proceed to Step 3.

For more information, read this link: What's Unapplied Cash Payment?

I've also included a resource on refining data and styles in your financial statements: Run reports. It covers general report preferences and references various report elements extensively.

Let me know if you have more questions about unapplied cash payments or other product concerns. I'm always here to help.