In QuickBooks Desktop software, documenting a deposit transaction isn’t considered a sale. It must be connected to the event of a sale, such as an invoice or a sales receipt. It will be reported as a cash payment that has not yet been applied. Yes, you can reverse the reconciliation by going back two months. The deposit should then be linked to the invoices. This will help you keep track of your documents.
- Pick List of Accounts under Your Business from the Accounting tab on the left side.
- Choose the bank you’re working with from the list and tap the Display register icon to see all transactions.
- Find the deposit and go to the check column, where you can keep clicking the R status until it says blank or cleared (C).
- To keep the updates, click Save.
- To confirm, select Yes.
- Link the payment to all invoices and reconcile it now that we’ve fixed the entry.
Here’s how to do it:
- Choose Chart of Accounts from the Accounting menu on the left panel.
- Tap View Register under the Action column on the account where you deposited the payment from the list.
- Then, to display the complete data, select the transaction to extend the line and press the Edit button.
- Scroll down to the Add funds to this deposit section on the Bank Deposit tab.
- Enter the correct customer in the Received From column.
- For the posting account, go to the Account column and pick Account Receivable.
- Close the window after pressing Save.
To connect the funds to the invoice, do the following:
- Under Customers, choose Receive payment from the New menu.
- To find the right client, use the Customer drop-down menu.
- Fill in the blanks in the remaining fields.
- Check the boxes next to the invoices you want to connect to the payment.
- Navigate to the Credits section to mark the box for Deposit.
- Save and lock the browser.
These tools will help with reconciliation issues in the future and guidance on how to identify and fit online data. To obtain and report invoice payments’ accounting. There are a few ways to record sales transactions in QuickBooks Online:
- Offer the customer a sales receipt if they paid for the product or service at the purchase time. Then you’re done.
- Give an invoice to your client if you intend them to pay you in the future.
- There’s one more step after a customer pays their invoice and you process the payment outside of QuickBooks (e.g., through Square, PayPal, or other POS systems).
- You must keep track of the payment and categorise it. This links the cost to the initial invoice, ensuring that the accounts remain in balance. Here’s how you can keep track of invoice payments.
Please note that if you use QuickBooks Payments to process payments, we’ll take care of the accounting. QuickBooks processes the payment and categorises it into the correct account when the customer pays their invoice.
Keep track of invoice payments
When you receive a payment, you must report it in QuickBooks to mark the invoice as paid. Otherwise, invoices would appear on your files as open and unpaid. Follow the steps below to record the payment the way you want:
- Make a payment record for a single invoice.
- Tap on new
- Pick the customer’s name from the Customer dropdown.
- Pick a payment option from the Payment method dropdown.
- Pick the account where the payment will be deposited from the Deposit to the dropdown menu.
Please note that you can deposit the money directly into an account, such as your checking account, or pick Undeposited funds if you need to group the payment with others.
Combine multiple payments into a single record
Deposit payments to the Undeposited Funds account if you deposited multiple payment checks at the bank and they were registered as a single record. In QuickBooks, this helps you to group various identical forms. This is only necessary if your bank combined several payments into a single transaction.
In conclusion, QuickBooks Desktop software is mainly used by all categories of bookkeepers and accountants. This blog’s whole idea is to help you understand that when you can use sales receipts and make the deposits on QuickBooks Desktop software. I hope that this blog helped you in some way or the other and was worth your time.