An offset, or adjustment, refers to a change made to balance or counteract a specific value or measurement. This can occur in various fields, such as finance, where an offset might adjust a profit or loss to reflect accurate figures. For example, if a company has expenses that reduce its income, an offset can help clarify the true financial position. In accounting, offsets are often used to reconcile accounts, ensuring that debits and credits match. This process helps maintain accurate records and provides a clearer picture of a business's financial health. Proper offsets are essential for compliance with standards like GAAP or IFRS.