Why doesn't my Profit and Loss match my bank balance in Kontuly?
That's normal. Kontuly's Profit and Loss counts sales and costs when they're invoiced or billed, and leaves out things that move cash but aren't income or expenses, such as loan repayments, owner drawings, equipment purchases and GST. The Statement of Cash Flows explains the difference.
What makes profit and cash differ?
- Unpaid invoices and bills. A sale counts when you invoice it, even if the customer hasn't paid.
- GST. The Profit and Loss excludes GST (if you're registered); your bank balance includes it.
- Equipment purchases. They're assets, spread over years by depreciation.
- Loans. Borrowing adds cash but isn't income; repaying reduces cash but isn't an expense (only the interest is).
- Owner drawings and capital. Money you take out or put in is equity, not an expense or income.
How do I see the difference?
Open the Statement of Cash Flows for the same period. It groups cash movements into operating, investing and financing activities, ending at the cash at the end of the period. See How does Kontuly's Statement of Cash Flows work?
My bank balance in Kontuly doesn't match the bank
That's a different problem: reconcile the account to find the missing or doubled transaction.
Related questions
- How does Kontuly's Statement of Cash Flows work?Kontuly's Statement of Cash Flows shows where cash came from and went over a period, by operating, investing and financing activities.
- How do I run a Profit and Loss report in Kontuly?Run Kontuly's Profit and Loss for any period, compare it with the previous period or last year, and click any figure to see the transactions behind it.
- How do I run a Balance Sheet in Kontuly?Kontuly's Balance Sheet shows assets, liabilities and equity at any date, with retained earnings worked out for you and a comparison with last year.
More about troubleshooting
- Why can't I edit an approved invoice or bill in Kontuly?Kontuly says "Only draft invoices can be edited" or "Only draft bills can be edited"? Fix an approved document by voiding it or raising a credit note.
- Why does Kontuly say "Period is locked"?The transaction is dated on or before the lock date in Kontuly's Settings. Date the correction after it, or clear the lock date, fix it and set it again.
- Why can't I change the currency of a business in Kontuly?Kontuly fixes a business's currency once any transaction is posted, because every amount is stored in it. If it's wrong, set up a new business.
- Why can't I void a bill or credit note in Kontuly?No Void button on a Kontuly bill or credit note? Remove its payments, allocations and refunds first, and check the lock date. What each message means.
- Kontuly says an account has transactions and its type can't changeKontuly locks an account's type once it's been used, so past reports don't change. Create a new account of the right type and move the balance with a journal.