---
title: "About YTD net income and retained earnings accounts"
description: "In Visma Net, there are two special system-maintained accounts: YTD (Year-to-date) net income and Retained earnings."
lang: en
languages:
  en: https://docs.vismasoftware.no/visma-net-erp/help/general-ledger/manage-accounts/about-ytd-net-income-and-retained-earnings-accounts/index.md
lastmod: 2026-02-19
---

> Documentation index: https://docs.vismasoftware.no/visma-net-erp/help/general-ledger/manage-accounts/llms.txt


# About YTD net income and retained earnings accounts

Last modified February 19, 2026

> In Visma Net, there are two special system-maintained accounts: YTD (Year-to-date) net income and Retained earnings.


In Visma Net, there are two special system-maintained accounts: **YTD (Year-to-date) net income** and **Retained earnings**.
Both accounts are of the
**Liability** type and must be created in the [Chart of accounts (GL202500)](https://docs.vismasoftware.no/visma-net-erp/help/general-ledger/general-ledger-windows/chart-of-accounts-gl202500/index.md) window before any actual data is entered.

The **YTD net income** account tracks net income accumulated since the beginning of the financial year or the difference between amounts posted to income and expense accounts. This account is updated by every transaction posted. During closing of the financial year, the balance of **YTD net income** account is transferred to the **Retained earnings** account, and the balance of **YTD net income** is reset to zero for a new financial year.

> [!NOTE]
> Transactions cannot be posted directly to the **YTD net income** account. The account itself cannot be changed once any journal transactions have been posted.

The **Retained earnings** account accumulates the company’s net income (or loss)
that is retained by the company after the dividends have been paid.
Retained
earnings are summarised over the years since the first year of company operations.

During the financial year closing, this account is updated by the amount accumulated
on **YTD net income** account.
You can post direct transactions to this account,
such as dividends paid to shareholders.
This account is normally reported in the
Shareholders' equity section of the balance sheet.

Related reference

[Chart of accounts - reference information](https://docs.vismasoftware.no/visma-net-erp/help/general-ledger/general-ledger-windows/chart-of-accounts-gl202500/index.md)


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