Skip to main content
S
spannerinthework
May 1, 2023
Question

Splitting Invoice Payments on a invoice

  • May 1, 2023
  • 1 reply
  • 0 views

Hi,

Most of my Invoices payments get split into either 2 or 3 payments.

1st - Payment into Bank Acc.

2nd - Payment into an Equity Acc for Tax Deducted at Source

3rd - Payment stopped at source for expenses. (i.e. Tools I have purchased through the company I sub too)

 

At first I could post these payments into the relevant accounts, but now they got put into the Undeposited Funds, to which I then transfer into the correct Categories/Accounts. 

 

When I go into Invoices it shows these funds have not been deposited, how do I correct this?

 

Many Thanks

1 reply

R
RoseJillB
May 1, 2023

Hi there, spanner.

 

Let me share insights about why the invoice is still open in QuickBooks Online (QBO).

 

When creating an invoice, the payment should be linked to it to mark it as paid and close the transaction. Since your client already paid it and for you to split the payment transaction. We can undo the previous action taken and start linking the payment by creating a bank deposit.

 

Here's how you can record your first payment via bank deposit:

 

  1. Go to the + New icon and select Bank Deposit.
  2. Enter the payments under the Add funds to this deposit.
  3. Select the name of the customer from the Received From section and select Accounts Receivable (A/R) for the posting account.
  4. Enter additional details and link this to the invoice.
  5. Then, select Save and close.

 

You'll also want to check out this article for reference when linking an invoice: Link a bank deposit to an invoice in QuickBooks Online.

 

After that, you can utilize a Journal Entry (JE) to record your second and third invoice payment. I’d also suggest consulting with your accountant for complete guidance on creating JE. Finally, you can proceed to receive invoice payments to mark this paid.

 

Let me know if you have more concerns with invoices. The Community is 24/7 available to help you. Stay safe!

S
spannerintheworkAuthor
May 7, 2023

I have tried this, but I am not making a deposit into a bank for these type off transactions, so when I do, it throws out my bank account in quickbooks.

If there a way I can post a payment into a Equity Account that I have created, using receive a payment?

K
Kurt_M
May 7, 2023

Thanks for getting back here in the thread, Spanner.

 

I understand how important it is to properly allocate these payments to the correct account inside QuickBooks Online (QBO). However, upon checking here on my end, there isn't a way to add them to your Equity Account through receiving payment. To get around this situation, you can enter a journal entry. I'll input the steps below to get you going:

 

  1. Access your QuickBooks Online company.
  2. On the left navigational bar, click the +New button and then select Journal entry.
  3. On the first line, select an account from the Account field. Depending on if you need to debit or credit the account, enter the amount in the correct column.
  4. On the next line, select the other account you're moving money to or from. Depending on if you entered a debit or credit on the first line, enter the same amount in the opposite column.
  5. Check the amounts - you should have the same amount in the Credit column on one line and the Debit column on the other. This means the accounts are in balance.
  6. Enter information in the memo section so you know why you made the journal entry.
  7. Select Save and new or Save and close.

 

 For more information, you can visit this article: Create journal entries in QuickBooks Online.

 

But before doing so, I'd recommend working this out with your accountant. This way, they can provide you with the best way to handle a situation like this using a journal entry. If you don't have an accountant, I can help you find one. Feel free to visit this page to find an accountant for your business: Find a QuickBooks ProAdvisor.

 

Moreover, here's an article to help you ensure your data stays accurate inside the program: Run reports in QuickBooks Online.

 

I'm confident enough that you can get this sorted out, spanner. As always, if you need further assistance with your QuickBooks-related questions. I'll be here, ready to help you. Stay safe, and have a nice day! 

Terms & ConditionsAccessibility statement