Does Zoho Books automatically transfer all my earnings to my Equity account at the end of the year?

No, all of the earnings are by default tracked under the Retained Earnings account, which is also an Equity type account. The cumulative of all the previous year’s Net Profit/Loss will be carried over as retained earnings of the current year.

If you wish to transfer the amount from retained earnings accounts to any other equity account either by creating a new account or any existing account, you can create a manual journal entry. Here’s how you do it:

  • Go to Manual Journals under the Accountant module from the left sidebar.
  • Click the +New Journal button.
  • You can post Debit value against the Retained Earnings account and Credit value against the other equity account to which you wish to transfer the amount.

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