Cash Based Accounting Option
mattpaul
Member Posts: 2
I'm still waiting for Wave to offer us the option to view our recognized income based on cash received, not on invoices generated. As a freelancer I have dozens of clients that don't pay on time or at all sometimes and I can't get an accurate picture for taxes of what I actually owe instead of what Wave thinks I will owe. Let us choose how we recognize earnings ourselves.
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Comments
Hey @mattpaul! Our newest accounting system does include Cash-based accounting (a much needed supplement to accrual accounting for many). Our Accounting Team is currently focusing on migrating all users to the most recent version but moving as much data as we have to move with the high standards we have takes time. I wish I had a more clear ETA for migration but I would not want to make a promise I could not keep. If you want to read more about the thinking behind the upgrade as well as the migration, I recommend this article.
Hello @Tyler
Is it possible that during setting of the company itself an option is provided to selected Cash Base OR Accrual Base.
By this many of the queries can be resolved and Wave community support team can concentrate on other important threads
WAVE apps is advertised to small businesses and should have a cash basis option and should be obvious. I realize that there are workarounds, but this can add another manual process to an already manual process.
I think they may be garnering more clients for their bookkeeping services... :-(
@SarahSocial2 rest assured, we would never behave in such a manner. Our Wave+ service is only here to serve those who wish to offload those concerns. We want to serve as many customers as possible with delightful software, and cash basis reporting is something we know small business owners desire.
@trebyt11 @UHRP3, as Tyler articulated in late October, we've been continuously migrating users who joined us prior to December 2017 to our newer accounting system. The vast majority of users will see their account on our newer platform in January, and over the coming couple of months, we should have everyone cut over. One of the features of our new system is a robust cash flow report, cash basis sales tax report, and cash basis account transactions report. This will provide you much of the information you're seeking. These reports can show you both pure cash, and views that include cash equivalents (like credit card accounts that some people treat as cash).
Further to that, later in 2019 (and perhaps as early as Q2), we're aiming to bring the same functionality to your Profit & Loss and Balance Sheet reports.
@trebyt11 we'll consider allowing people to set a "default" of "cash basis" vs. "accrual" reporting so all reports start on their chosen default and it can feel less of a constant decision.
Can we also have the cash based accounting option also added to all the dashboard graphics and stats?
A cash flow graph is the top graph on the right on your dashboard when using our newer accounting software. Are you thinking about a different view?
Looking forward to those PNL and Balance Sheets in Cash Basis...this is kind of complicated figuring out cash basis for tax purposes.
@BoundarylessJed We're looking forward to getting you (and all our users) migrated over to our new system as soon as possible! Definitely understand that figuring out cash basis for tax purposes is complicated, and appreciate your patience throughout this process!
@AmandaK It is so Awesome having the cash basis options now! Thanks!!!