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How revenue is recognized

Subscription revenue is earned over the service period, not when it’s invoiced. Recurso defers revenue on invoice and recognizes it month by month under ASC 606 — giving you a recognition waterfall and a deferred-revenue rollforward your auditor can use.
Concept + posting detail: Revenue Recognition and Ledger.

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Prerequisites

  • Plans with correct billing intervals — the recognition schedule follows them.
  • An API key for the API calls below, or dashboard access to Finance.

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Step 1: Nothing to switch on — it follows your plans

The Revenue Recognition page

Revenue Recognition — recognized this period, deferred balance, and the release schedule

Recognition is driven by your plan/subscription terms: a monthly plan recognizes over the month, an annual plan recognizes across twelve. Set your plan intervals correctly and the schedule follows. One-off charges recognize at point of sale.

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Step 2: Read the recognition report

Pull the period’s recognized revenue, the deferred balance, and the release schedule. In the dashboard it’s Finance → Revenue recognition; or via the API:
The waterfall (/finance/revrec/waterfall) and the deferred rollforward (/ledger/deferred-rollforward) give the auditor views.

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Step 3: Reconcile against the ledger

Recognition posts double-entry legs — deferred revenue down, recognized revenue up — so the numbers tie to the ledger and the month-end close.

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Verify your setup

1

Deferred revenue appears on invoice

Invoicing an annual plan defers the revenue rather than recognizing it all up front.
2

It releases over time

Each period recognizes its slice; the deferred balance rolls forward correctly.
3

It ties to the ledger

Recognized + deferred reconciles against the ledger’s balances.

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Next steps