The Retained Earnings account is an equity account that QuickBooks creates
when you start a new company. QuickBooks uses this account to track profits
from earlier periods that have not yet been distributed to owners.
If necessary, you or your accountant can make manual postings to the
Retained Earnings account, however in most circumstances you should post to a
different equity account. Retained
If your fiscal year is January to December and you create a standard balance
sheet on December 31st, QuickBooks shows your net income for the year on a line
labeled Net Income. In this example, the net income for the year is
Opening Bal Equity
If you then create a standard balance sheet the next day, on January 1st,
the same net income from the previous year now appears in your Retained
Earnings account, and net income for the new year is 0.00.
Go to the Reports menu, choose Company
& Financial, and then click Balance Sheet
Standard. The Retained Earnings Account appears in the Equity section of the
To see transactions posted to this account, go to the Company
menu and click Chart of Accounts. On the Retained
Earnings entry at the bottom click QuickZoom.
This displays a QuickReport with the transactions (manually or automatically
created) that have been posted to Retained Earnings.
To see debit, credit, and balance information for Retained Earnings
transactions, QuickZoom on the Retained Earnings entry in any report in which
it is included. Examples include Balance Sheet Standard and Balance Sheet
Detail. When you QuickZoom, QuickBooks displays Retained Earnings information
in the Transactions by Account report.
Equity accounts you start with