Your balance sheet (B/S), either cash basis (CBBS) or accrual basis or both, is out of balance and your Total Assets do not equal the sum of your Total Liabilities and Total Equities (A = L + E). You need to find root cause of the issue and implement a solution.
Most cases of a balance sheet out of balance are resolved by do basic data damage troubleshooting that fixes list or transaction damage that is affecting the reports.
We cannot overstress the importance of backing up your data file before attempting to fix any list or transaction damage.
We know that these types of transactions will put your cash basis balance sheet (CBBS) out of balance. If have any of these transactions, use the Date Zoom in Section 4 find the dates that your B/S goes out of balance and the Reports in Section 5 to identify the transactions. Then use these steps to correct the transactions. Before attempting any of these resolutions, backup your company data file.
Look for this situation:
If the issue persists, try this:
Suppose you have the following scenario:
You need to reenter the payment and split it among the jobs, entering the discount for Job A.
Suppose you have this scenario:
To resolve your issue:
When you are entering customer payments, you can apply discounts with the Discounts & Credits button. In the discount window, you must enter an offset account in which to record the discount. If you enter a balance sheet account, your cash basis balance sheet (CBBS) will be out of balance.
To resolve your issue, change the discount account to an income or an expense account.
You may have transactions that adversely affect inventory:
Negative inventory can affect your Cash Basis Balance Sheet:
Your options are to:
If this issue started after upgrading to a new version of QuickBooks, you can:
If you have none of the transactions in the Section 3, you may have some data damage that the usual data damage troubleshooting does not fix. This section has some specific forms of data damage that you can check for. These are rare and the solutions are complex. You may save time by going to Section 4 to search for general data damage.
Before proceeding with the following steps, make sure both reports:
This may be caused by account list damage. Fix account list damage by merging the problem account into a new account.
Determine the problem account(s) by comparing the two reports and finding the account(s) for which the balance differs on the two reports.
Once you know the problem account(s), merge them into new accounts..
Your accrual based balance sheet is in balance when Dates = All and Columns = Total Only. But, if you select another date range, the report goes out of balance.
This issue can be caused by damaged transactions.
You may have a damaged income or expense account that has a balance but has no transactions.
Cleaning up (condensing) a company data file can affect the balance sheet and the accounts that display. For example, this issue occurs if you change the associated account on a payroll item after it was used on a paycheck, and then clean up (condense) your company data file.
Solution: Correct the affected journal entries.
Solution: Identify the damaged account and merge it into a new one
Run the following report:
Scroll to the bottom of the report. If the last group of transactions has the heading No accnt and the Account column is blank, then these transaction Targets have no account assigned to them. Try the following:
Add additional information outside of the expando OR insert another expando here. This process begins with running the cash basis balance sheet for All Dates and then zooming in to the cash basis balance sheet for a single day on which your B/S goes out of balance. Be aware that there may be several days on which your B/S goes further out of balance.
For each iteration, memorize the report and save the spreadsheet because often there are more than one year, month, week or day that have a transaction adding to or subtracting from the out-of-balance amount
Once you have the day(s) on which the cash basis B/S goes out of balance, run these reports in sequence to identify the transactions that are putting it out of balance.
If these reports do not identify the damaged transaction(s), then see HOW12456 for more ways to find the damaged transactions.
When you have identified the damaged transaction(s), use HOW12506 to repair it.