Deferred Income

This page is still in process

Recognizing Revenue and Deferred Revenue may be recorded differently depending on how your Region tracks and budgets financial activity. Therefore we have provided 3 general options to choose from for recording revenue and deferred revenue.

Option 1

Record the entire Sports Connect / Blue Sombrero (BSB) weekly deposit to 4005 Registration Fees (or sub-accounts) in QuickBooks as of the deposit date.

Option 2

July 1 through February 28 (or until the next Membership year is opened for Fall)

Record the entire Sports Connect / Blue Sombrero (BSB) weekly deposit to 4005 Registration Fees in QuickBooks as of the deposit date.

March 1 (or when the new MY is opened for fall) through June 30th

Record the entire Sports Connect / Blue Sombrero (BSB) weekly deposit to 2510 Deferred Registration Fees in QuickBooks as of the deposit date.

On July 1 of the new year fiscal year, book a journal entries to reclass the deferred revenue to registration revenue

Option 3

Deferred Income is money received for services which has not yet been earned. (Example: a new year registration is open, and one receives payment for the new year. We will record it as deferred income until the new year begins.)

On 6/30/xx of each year do a journal entry to record deferred income. And then do another journal entry on 7/1/xx of each year transferring the income from a liability to revenue recognition.

This is an important step to ensure that all of your income is correctly reported and that you are able to keep track of any delayed payments.

To start, your deferred revenue account number is 2510

Link: QB Journal Entry Video