 Let's do the other one that's often not income I'm going to go back on over here and say okay let's do the other one what happened here I'm going to go down and say let's just pick another one of these Skillshare ones and I'm going to go into it and let's assume this time this was me putting the money in so it says Skillshare down here but let's just pretend that this is money coming from me the owner that I put into the business so once again I would need to differentiate that from other deposits so that I don't record it as income and it's not going to happen all the time because hopefully I'm not putting money into the business all the time hopefully as the business gets going I'm taking money out of the business a lot of the time so I'm just going to say this is going to be this is going to be owner or something owner I have an owner vendor owner customer let's say and I'm going to say save it and then this one's not going to go into the loan payable it's trying to guess what I did last time with the Skillshare payment I'm going to put this instead into an equity account and I'm going to put it into you could put it into the owner's equity directly or you might create another equity account called owner investments for example and the so so basically the owner's equity is kind of like retained earnings the income of the business is going to roll into equity opening balance is the balance used by QuickBooks to plug in any kind of miss any kind of thing that needs to happen to stay in balance so that's kind of a clearing account that's not really something you want on the books you want to see what QuickBooks did and kind of fix it clearing that account out draws the account that's used when we take money out of the business and then because that's more natural we do that most of the time you might not have an investment kind of account you might just put that into the equity or you can create another account called you know owner investments if it was a corporation that would be the the the stocks the issuance of the stocks so I'm going to say all right this is going to be a equity type of account and I'm going to say common stock I'll just say owner's equity and I'm going to say this is going to be owner investment so I'll say that and let's just save it the point is it's not going to an income account I'm not going to be able to set a rule for it oftentimes because I don't plan on putting money into the business all the time it's going to be a thing that happens every so often when I'm growing or starting the business let's add it and check it out if I go to the balance sheet and run it to refresh it then I can see checking account is now going up let's let's customize it let's look at the filters let's check it out by type and say we want the deposits and let's check it out by customer and say that we want then the owner customer owner customer there it is so there's the deposit that we put in here it obviously was put in with a deposit form the other side not going to income this time as we've been doing in the past but rather go into the equity account so if I go down to the equity side of things then we've got the owner's equity and there's our investment account that's what we just added to it so it's here instead of on the income statement now note if you if you mess that up and you just record all deposits as income you're going to have recorded those two items in income on the profit and loss somewhere and that's not good for income tax reasons I mean it makes your your income statement look better than it actually is because that income was from you not from customers and your income and net income will be higher but for income stack tax purposes if you're in the united states that's bad because that means you're going to be paying taxes on the money that you put into the business not the money you earned or the money you got from a loan not the money you earned so that's going to be not good if that if that were the case for tax purposes at least if I go to the tab to the left note that net income will roll into the equity section so we're building the net income down here there's the income on the year there it is here on the balance sheet it's going to roll into equity so if I change the dates up top to 23 and 23 that income rolls into the owner's equity right note that the the draws and investments traditionally should also roll into equity but QuickBooks doesn't do that automatically so if you want these draws and investments to represent only the draws for the current year you've got to fit you've got to manually do yourself the closing uh journal entries closing out draws and investment to equity if you don't do that not a big deal because then these you just got to recognize that these are going to represent investments and draws over the life or however long you've been recording the draws and investments into them and you know that's fine too because you can look at the detail but just going into it and just looking up what happened in the current year for for the draws or investment accounts if you want to do that but just just noting that