Net Income total incorrect in Balance Sheet

@gelkins4 

"The Net Income number it shows is not for 12 months but only for six months (7/1/24 to 12/31/24 (beginning of the FY to end of the CY)"

QB is working properly.  The net income shown on your 12-31-24 balance sheet is from the first day of your FY to the date of the balance sheet.  Any net income prior to that was posted to Retained Earnings as of 7-1.  QB has always worked this way.  

Hi, @gelkins4. Thank you for reaching out. It can be that the issue with your Balance Sheet report showing an incorrect Net Income total is due to the fiscal year (FY) settings in QuickBooks Online (QBO).

As Rainflurry has pointed out, the Net Income amount reflected in the Balance Sheet covers only the transactions from the first month of the Fiscal Year (FY) to the As of date of the report, which is 12/31/2024 since you've set the report's reporting period to Last Calendar Year.

Based on these details, the first month of the accounting year selected in your QBO is July. Therefore, the amounts from 07/01/2024 to 12/31/2024 are in the Net Income in your Balance Sheet, and the amounts before that are in the Retained Earnings account. Retained Earnings account shows your company's income and expenses from all previous years. For more details, check out this article: View Retained Earnings account details in QuickBooks Online.

You may want to consider reviewing the first month of your company's FY in the Accounts and settings. Here's how:

1. Go to the Gear icon. Then, Accounts and settings.
2. Select Advanced.
3. Navigate to the Accounting section. 
4. Review the first month of the FY and ensure it's the month for your business's financial reporting year.
5. Click Save when done.
   

After this, pull up the Balance Sheet report again and verify the amounts. You can also consider generating a Profit and Loss report and ensure the reporting dates are correct to cross-reference the amounts to your balance sheet.

I hope these details about adjusting your FY settings and ensuring the reports align with your financial periods help you generate the accurate Balance Sheet report you need. If you have any more questions or if there's anything else we can assist you with, feel free to click on the Reply button. We're committed to offering ongoing support.