Recording payment to third party as payment for pledge

Hi there, @azureen99. I'll share a few steps to help you record the payment for the pledge in a non-profit company in QuickBooks Online (QBO).

I appreciate you sharing the detailed information about your concern. To help you with this, you just need to use the Receive Payment option to pay the pledge. Before that, we have to create an expense transaction for the event rental and make it billable to the donor. Here's how:

1. Select the +New menu and click Expense.
2. In the Payee field, choose the name of the third party (if you haven't created one yet, refer to the steps in this article: Add suppliers in QuickBooks Online).
3. Next, enter the details and the date (23.2.2023) of the event rental as well as the amount (RM1000).
4. Once done, select the donor's name in the Customer/Project column according to where you've entered the event rental (Category details or Item details).
5. Then, check the Billable box.
6. Once done, click Save and close. 

Once done, create an invoice and add the billable expense. If you've already created an invoice for the pledge, you can delete or edit it so it won't double the amount. 

1. Select the +New button and choose Invoice.
2. Enter the correct date 1.1.2023 in the Invoice date field. 
3. Next, add the donor's name in the Customer field.
4. Then, select the arrow beside the Balance Due section and select the Add button to add the billable expense.
5. Once done, click Save and close. 

When finished, let's now receive the payment for the pledge. Let me guide you on how:

1. Navigate to the +New menu and choose Receive payment.
2. Input the donor's name in the Customer field.
3. Next, check the invoice where you link the billable expense.
4. Enter the total amount in the Amount received field.
5. Then, click Save and close to apply for the payment.

I also added this helpful resource that you can use as a guide in case you need to modify the details of your sales forms: Customise invoices, estimates, and sales receipts in QuickBooks Online.

I'm always here ready to lend a hand if you have other concerns managing your account. Please don't hesitate to leave a reply below. Have a good one, and stay safe.