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inputing US currency
September 30, 2020
Question

Clearing a Credit on Account that has journal entries involved...

  • September 30, 2020
  • 1 reply
  • 0 views

Hi There,

I'll try and make this easy to understand.

 

I just took over the bookkeeping for a company - it was in the process last year of a name change and company change-over. A client paid their bills but to the wrong company. The previous bookkeeper applied the payment to the old company then created two journal entries to "transfer" the funds over to the proper new company back in November of 2019. The GL coding to the journal entries are debit and credit from the same bank account.... at the same time, it is still showing the credit sitting on the clients account for the old company. 

 

Would anyone have any idea's on how to go about correcting this so the credit is no longer showing up on the account?

 

Thanks!

1 reply

MariaSoledadG
MariaSoledadG
September 30, 2020

Thanks for providing the details on what happened, inputing US currency.

 

You'll have to make sure that you have selected the correct payment to the bill. This way, once both bill and payment link correctly, the credit will no longer show up on the account. 

 

To do this, you can follow the steps below.

  1. Click + New.
  2. Choose Pay Bills in the Vendors column.
  3. In the Payment Account list, select an account to use to pay the bills.
  4. Provide a payment date on the bottom-left side of the screen.
  5. Enter the number of the first check you’ll use to pay bills.
  6. In the Filter list, select an option to specify the outstanding bills you want to consider paying.
  7. By clicking the appropriate column heading, you can opt to sort the listed bills by Payee, Reference Number, Due Date, or Open Balance.
  8. Select the checkbox in the column on the left side of each bill you want to pay.

However, I still suggest reaching out to your accountant for other ways on how to it.

Please read this article handy if you want to pay multiple bills to multiple suppliers: Enter And Pay Bills.

 

For future reference, you can run reports to show the information you want. Please read this article for more information: Run Reports in QuickBooks Online.

 

Reach out to use if you need help. We'll always be right here to help.

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