Free template · Excel · Bookkeeping and reports
Free profit and loss template (monthly) for Excel
A profit and loss statement with twelve monthly columns, a total for the year, and every line as a percentage of income. Gross profit, operating income and net income calculate for each month.
Profit and loss template
Excel workbook (.xlsx) · 10 KB · 2 sheets
| Account | Jan 2026 | Feb 2026 | Mar 2026 | Total | % of income |
|---|---|---|---|---|---|
| Income | |||||
| Sales | 8,200.00 | 7,900.00 | 9,100.00 | 118,300.00 | 74.8% |
| Service income | 3,100.00 | 2,900.00 | 3,300.00 | 39,800.00 | 25.2% |
| Total income | 11,300.00 | 10,800.00 | 12,400.00 | 158,100.00 | 100.0% |
| Total cost of goods sold | 3,600.00 | 3,450.00 | 3,900.00 | 51,150.00 | 32.4% |
| Gross profit | 7,700.00 | 7,350.00 | 8,500.00 | 106,950.00 | 67.6% |
| NET INCOME | 1,260.00 | 910.00 | 2,060.00 | 29,670.00 | 18.8% |
What it is
A profit and loss statement (P&L, or income statement) shows what the business earned, what it spent and what was left over, for a period of time.
Seeing it month by month shows the pattern behind the annual number: slow months, seasonal costs, and whether margins are getting better or worse.
Who it's for
- Owners who want a monthly picture of profit
- Businesses preparing numbers for a lender or partner
- Anyone keeping books in a spreadsheet for now
What's in the file
| Sheet | What it holds |
|---|---|
| Profit and loss | Income, cost of goods sold, gross profit and margin, 20 expense lines, net operating income, other income and expense, net income and net margin, with 12 months, a total and % of income. Fits one landscape page. |
| Instructions | How to fill it in, plus a note on cash vs accrual. |
How to use it
- Type your company name and the first month of your year (a fiscal year starting in July works too).
- Clear the sample numbers in the shaded cells.
- Rename the account lines to match your chart of accounts. Insert rows inside a section if you need more.
- Each month, enter that month's totals by account. Enter discounts and refunds given as negatives.
- Read across: the Total and % of income columns show where the money goes, and a month with a loss turns red.
Pale yellow cells are for your entries; white cells calculate. Nothing is locked, so you can rename lines, add rows inside a section, or change the layout. Each file has an Instructions sheet with these steps.
Download profit and loss template (.xlsx)
Questions
What's the difference between a profit and loss and a balance sheet?
The profit and loss covers a period (a month, a year) and shows income minus expenses. The balance sheet is a snapshot on one date: what you own, what you owe, and the owners' equity. You need both; net income from the P&L flows into equity on the balance sheet.
Is gross profit the same as net income?
No. Gross profit is income minus the direct cost of what you sold. Net income is what's left after all the other expenses too, such as rent, wages and advertising.
Should I use cash or accrual?
Cash basis records income when you're paid and expenses when you pay. Accrual records them when you invoice and when you're billed. Accrual gives a truer monthly picture; cash basis is simpler. Pick one and use it consistently, and ask your accountant which your tax return needs.
Can I use this for a tax return?
It can help you organize the numbers, but the return needs figures from complete, reconciled books. Hand your accountant the underlying records, not just this summary.
Related
- Cash vs accrual accounting
- Monthly closing checklist
- Balance sheet template
- Budget vs actual template
- All free templates
General information, not tax, legal or accounting advice. Check with your accountant before relying on a template for a tax return.
AcboBooks
When the spreadsheet stops being enough
A spreadsheet P&L is only as right as the numbers typed into it. In AcboBooks the profit and loss is built from your actual transactions, so it's always current and you can open any number to see what's behind it.
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