Revenue recognition
Set up revenue recognition
Defer annual subscription revenue into a liability and recognize it monthly.
Who: Owner, Admin, AccountantUpdated 2026-09-28
- Stripe Settings → Revenue recognition tab → enable it.
- Map the Deferred Revenue liability account.
- Choose what to defer:
- Settlement mode: enable deferral of yearly subscriptions.
- Product mode: on Products, turn on Defer per product, enter months (1–120) and pick the income account.
When a deferred sale syncs, the full amount posts to Deferred Revenue, then Ledgerzoom creates and posts all monthly entries upfront (dated monthly from the sale date) moving the amount into income.