The Football Association of Wales (FAW) made a loss in the last financial year, despite increasing its annual income by 10% thanks to a new television deal.
Accounts for the year ending June 2014 show turnover increased from £7.9m to £8.7m.
But the association reported a loss after tax of £28,935 compared to a profit of £35,819 in 2013.
"We are not an organisation that needs to generate any profit," said FAW chief executive Jonathan Ford.
"In fact it's ideal if we don't generate a profit because clearly we wouldn't then have to pay any corporation tax."
Ford added: "My job is to maximise our income to ensure that we keep control of our costs and ideally invest everything that we earn back into football for the future of the game."
The report says: ''The increase in the cash balance compared to 2013 is the result of an amount received in connection with the Uefa centralised television deal.''
The FAW donated more than £18,000 to charities, including £15,000 paid to Show Racism the Red Card - the same amount as in 2013.