Allocating the pending settlement to the proper account can be tricky, sgfee123. I have some information regarding this.

Proper recording of accounts for Pending Settlement varies since it can be considered a temporary asset once finalized. It can also represent a contingent liability on the balance sheet.

To display this in your balance sheet, we'll need to create a sub-account, as it is not part of the default accounts in QuickBooks Desktop (QBDT). It's also best to contact your accountant when choosing the correct account for the pending settlement to ensure proper recording.

Kindly follow these steps:

1. Go to the Lists menu, then choose Chart of Accounts.
2. Select an account, then press the Account dropdown.
3. Click New.
4. Choose one account type, then click Continue.
5. You can still change the Account type from the Account type dropdown.
6. You can enter Pending Settlement or anything according to your preference within the Account Name.
7. Put a checkmark in the Subaccount of field.
8. Click the dropdown, and from there, select the account that you want to allocate it to.
9. You can also fill out the Description, Note, and Tax-Line Mapping fields.
10. Click Save & Close or Save & New.

To know more about adding a sub-account and if you're using a Mac device, you can use this article: Add, edit, or delete accounts in QuickBooks Desktop.

Afterward, you can run and customize reports in QuickBooks Desktop to show relevant data.

We're still here if you have additional questions regarding running a report in QBDT.