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Bunny5
September 4, 2024
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Why is bank being credited when I raise an invoice instead of income

  • September 4, 2024
  • 1 reply
  • 0 views

Hello,

 

When I raise an invoice, QB credits a bank account instead of income. How can this be rectified because I have a credit balance on a bank account and not income. Please assist.

 

 

Best answer by AnneMariee

Let's work together to ensure that the correct accounts are credited when you invoice your customers, Bunny5.

 

Assigning the appropriate income accounts to your service or non-inventory items is essential so that your invoices affect the right accounts. Here's how to change the income account of your item:

 

  1. Go to the gear icon at the top-right corner of the screen.
  2. Under Lists, select Products and services.
  3. Locate the product. Then, click Edit.
  4. In the Sales section, head to the Income account dropdown.
  5. Choose the appropriate income account.
  6. Press Save.

 

Once done, the correct income accounts will be affected when you invoice your customers. For more info, check out this helpful article: Change the account for a product or service item.

 

For future purposes, here's a guide on utilizing reports to obtain valuable information about your sales: Use reports to see your sales and inventory status.

 

I'm just one post away in case you have any other invoicing concerns, Bunny5. Leave them below, and I'll get back to you.

1 reply

A
AnneMarieeAnswer
September 4, 2024

Let's work together to ensure that the correct accounts are credited when you invoice your customers, Bunny5.

 

Assigning the appropriate income accounts to your service or non-inventory items is essential so that your invoices affect the right accounts. Here's how to change the income account of your item:

 

  1. Go to the gear icon at the top-right corner of the screen.
  2. Under Lists, select Products and services.
  3. Locate the product. Then, click Edit.
  4. In the Sales section, head to the Income account dropdown.
  5. Choose the appropriate income account.
  6. Press Save.

 

Once done, the correct income accounts will be affected when you invoice your customers. For more info, check out this helpful article: Change the account for a product or service item.

 

For future purposes, here's a guide on utilizing reports to obtain valuable information about your sales: Use reports to see your sales and inventory status.

 

I'm just one post away in case you have any other invoicing concerns, Bunny5. Leave them below, and I'll get back to you.

B
Bunny5Author
September 10, 2024

Thank you for this response would you know how to avoid this in future? Also  is it possible to allocate this per donor incase we are dealing with grant income?

R
RhoiceW
September 10, 2024

Welcome back to the thread, Bunny5. Let’s work together to find a solution for allocating donors when managing grant income and make sure this doesn’t happen in the future.

 

Ensure to assign the correct income accounts during product creation to avoid crediting the bank when creating an invoice in the future. To make sure that when you record it, QuickBooks credits the income account and debits accounts receivable.

 

Regarding your second question about allocating grant income per donor, it isn't possible. However, you can use classes/locations to track income by the donor.

 

Before using the Classes/Location feature, you need to enable it first in your settings.

 

Here's how:

 

  1. Go to the Gear Icon, then select Account and settings.
  2. Select the Advanced tab.
  3. In the Categories section, click the pencil icon to edit.
  4. Turn on Track classes or Track locations.
  5. Once done, click Save and then Done.

 

After that, proceed in setting up classes/locations by following these steps:

 

  1. Go to the Gear Icon, then select All Lists.
  2. Select Classes or Locations.
  3. Click New and set a Class or Location for each of your donors.

 

In addition, refer to this article to learn how to customize your sales forms in QBO: Customize invoices, estimates, and sales receipts in QBO.

 

If you still have any concerns about invoicing, just drop a comment on this post. I'm here to help.

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