A Deferred Income is an amount you have invoiced to a client for a service (such as a membership or a class pack) that will be used at a later date. In accounting, this amount should not be immediately recognized as revenue, but instead spread over time based on actual usage.
📅How often are deferred incomes calculated?
- Yearly : Generally on December 31st (if this is the annual closing date), to prepare the year-end financial statements.
- Monthly : It is also possible to track deferred incomes on a monthly basis (e.g. on 31/01, 29/02, etc.). This allows for more accurate monitoring of actual revenue.
The data shown in the exports presented in this article is always calculated on a monthly basis, to allow for both reporting methods..
🛒Which products are affected?
- Memberships or Bolt-ons billed upfront or over a period longer than one month.
- Packs (of sessions, entries, etc.) with remaining units to be used after the closing date.
🧾 Examples based on the type of closing date
➤ Annual membership paid upfront
12 months for €480, invoiced on May 1, 2025
- Monthly closing on 31/08/2025 : 8 months remaining → Deferred income = 8 × £40£320
£40 per month, invoice issued on December 1, 2025 (Covered period: December 1 to December 31, 2025)
Monthly closing on November 30, 2025 :
The entire month of December is still to come → 31 days still to be provided
Deferred Income = £40
➤ 10-session pack
£100, invoiced on November 15, 2025 – 4 sessions used as of December 31
Monthly closing on 30 November 2025 : 8 sessions remaining to be used → Deferred Income = 8 × £10 = £80
💡For all these cases, the Deferred Income exports in Xplor Gym allow you to select the desired closing date and automatically view the amount to be accounted for, as explained later in this article.
From Xplor Gym, you can generate an export called Deferred Income to identify the amounts to be recorded as deferred income.
In the menu Export Management, select the export Deferred Income
Then select a date (for example, December 31 for the annual closing or the last day of each month for a monthly closing).
📄 What the export contains, overall:
- Number of memberships affected
- The remaining days to be “provided” after the selected date
- The amount of Deferred Income to be recorded
On sheet 1 of the export, you will find:
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the selected accounting closing date (ex. 30/06/2021),
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an explanation of the Deferred Income calculation,
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and the amount of Deferred Income to be recorded for each relevant membership.
💡 How is the Deferred Income amount calculated?
The calculation includes the sum of:
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the remaining full months × the monthly amount excluding VAT,
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plus the portion of the current month not yet “provided” (calculated on a pro-rata basis for the remaining days).
- On sheet 1, you will see:
- the number of remaining days to be provided after the closing date,
- the number of memberships or bolt-ons affected,
- and the total amount of Deferred Income to be recorded as of that date
On the second sheet, each row details an invoice included in the Deferred Income calculation. It includes the start and end dates of the relevant period., corresponding to the product’s billing period. Also listed are: the Deferred Income amount as of the closing date (for example on 31/07/2021), as well as the information related to the buyer (number, surname, first name) and to the invoice (reference, amount including and excluding VAT).
The file also specifies the product name, its accounting code (from the catalogue), a potential associated keyword, thelegal entity, the club name, and the beneficiary information (number, surname, first name) if different from the buyer.
🔎Note
Deferred Income is calculated based on the product’s invoicing date (not the payment date). This reflects what has been officially sold during a given period, whether paid or not at that time.
💡 Example
A 12-month membership for £1,200, paid in full, still active as of July 31:
- 10 months already “used”→ £1,000 recognised as revenue
- 2 months remaining → £200 to be recorded as Deferred Income
Deferred Incomes are also visible from the member file..
From the member file and the Deferred Income tab, you can also find detailed information on the Deferred Income amounts for each membership and bolt-on:
You can also generate a Deferred Income export for packs to identify the sessions not yet used at the end of a given period.
📍 Where to find it?
In the Management Exports, select the export Deferred Income -Packs:
then select the desired end date.
Contents of the export
- Remaining number of units to be provided
- Unit price per pack
- Amount of Deferred Income to be recorded
🔎Note
As with memberships, The calculation is based on the invoicing date of the pack, and not on the payment date.
💡 Example
A 10-session pack sold for £100:
- 5 sessions still unused as of July 31
- Deferred Income amount: 5 × £10 = £50
When initially importing your customer and club data into Xplor Gym, you will be able to specify the Deferred Income amount for each membership based on the membership end date and the import date..
📥 What needs to be done?
- In your import file (Membership tab), add the information of “Deferred Income amount”.
- The amount must always be exclusive of VAT.
- Enter the amount to be amortized, that is, the amount corresponding to the period not yet elapsed but already invoiced..
⚙️ What does Xplor Gym do next?
The software will automatically allocate this amount month by month based on the membership end date. You will then be able to use the Deferred Income (Fiscal) exports for memberships or session packs as described in this article.
→ The last month accounts for the remaining balance if the amount does not divide evenly.
Note
This feature is useful for clubs that want to import existing memberships or ensure accurate accounting after a late start with Xplor Gym.
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