Accrual basis accounting Commonly used accounting method where income is reported when earned and expenses are reported when incurred, whether or not cash has been received or paid. Contrast with “Cash basis accounting.” Home Resources Startup Law Dictionary Accrual basis accounting Return to Glossary Need legal help? Schedule a free consultation with a world-class startup attorney on LawTrades. LET'S CHAT Roy G. Business Attorney Heather N. Business Attorney Jared S. Business Attorney Tell us about your project We'll connect you with a vetted attorney in just a few minutes. Trusted by top companies like :