The owner statement is used to determine the available funds for distribution to an owner. It contains all of the transactions for an owners that affect their bank account, categorized into income and expenses. It is not an Income Statement. It does not change depending on the type of Accounting, Cash or Accrual, since it only includes transactions that are affecting the bank account.

It starts off showing all Income and Expenses that affected the bank account for the given month. It then includes other types of transactions, such as owner draws, that are not necessarily income or expense but they do affect the bank balance for that owner.

And then it includes Reserves, Security Deposits, and other liabilities that are held, to give you a true balance of what is available, so you know how much you can pay out to the owner. 

If you are on Accrual Accounting, this Income will most likely not match the Income Statement. That is because an Income Statement would show all invoices as Income, since you recognize income as soon as the Invoice is generated. If everyone paid on time, and all the payments were deposited, then the income on the Income Statement for that given month would match the income shown on that month’s Owner Statement.

If you are on Cash Accounting, this income would likely be close to matching the Income Statement. However this is still based on when the payment was deposited. Cash Accounting recognizes income when the payments are made. But if a payment is made on the 30th of the month and is not deposited in the bank account until the following month, that previous month’s Income Statement would not match the Owner Statement’s income. If all payments are deposited in the same month they are made, then the Income Statement would match the Owner Statement.

Same goes for outgoing payments for bills, depending on when they are marked as paid and when they are deposited, depends on when this Income will show on these given statements.

*Example:
On Cash Accounting, If someone pays online on the 30th, the invoice payment date would show the 30th, but if the weekend is in between it may not get deposited into your bank account by ProPay until the 2nd. The income then would not match on the Income Statement and the Owner Statement, since the income statement would show that income on the 30th, while the owner statement would show that income on the 2nd.