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JN92
February 23, 2021
Solved

Adjust overpayment on vendor bill

  • February 23, 2021
  • 2 replies
  • 0 views

We recently received a vendor bill for $1125.  The vendor's bill for the previous prior month was $1312.20.  We mistakenly sent a check for $1312.20 for the most recent bill, rather than the $1125 that the check should have been for.  Unfortunately, the vendor deposited the full amount ($1312.20) of the check.  The incorrect amount between the invoices was $187.20

 

Given these circumstances, we would like to apply the $187.20 to our next bill with this vendor and use it as a debit (?) reduction in the total amount of their next invoice (or as a method of partial payment).  We use QuickBooks Desktop Pro 2020.  How should we implement this process?

 

Thanks very much for your assistance.

 

John

 

Best answer by RCV

Let me help you record the overpayment on the vendor bill, JN92.

 

I appreciate you for providing us in-depth details of your concern. We can enter the overpayment amount when entering the bills. Let me show you how: 

  1. Go to Vendors.
  2. Select Enter Bills.
  3. Click Credit.
  4. Choose the Vendor name.
  5. Enter the amount of the said overpayments.
  6. Press Save & Close.

Once done, you can open a bill payment transaction and the amount of overpayment will show up on the Set Credits window. To learn more about recording a vendor refund, see the Record a vendor refund in the QuickBooks Desktop article.

 

Feel free to visit our Expenses and vendors page for more insights about entering expenses, paying bills, writing checks, and managing suppliers.

 

Please update us on the result of this troubleshooting in the comment below. I'd like to ensure this is resolved for you. You have a good one.

 

2 replies

R
RCVAnswer
February 24, 2021

Let me help you record the overpayment on the vendor bill, JN92.

 

I appreciate you for providing us in-depth details of your concern. We can enter the overpayment amount when entering the bills. Let me show you how: 

  1. Go to Vendors.
  2. Select Enter Bills.
  3. Click Credit.
  4. Choose the Vendor name.
  5. Enter the amount of the said overpayments.
  6. Press Save & Close.

Once done, you can open a bill payment transaction and the amount of overpayment will show up on the Set Credits window. To learn more about recording a vendor refund, see the Record a vendor refund in the QuickBooks Desktop article.

 

Feel free to visit our Expenses and vendors page for more insights about entering expenses, paying bills, writing checks, and managing suppliers.

 

Please update us on the result of this troubleshooting in the comment below. I'd like to ensure this is resolved for you. You have a good one.

 

J
JN92Author
February 25, 2021

Your solution worked perfectly.  Thanks very much!

R
randialynch
May 23, 2022

How would I do the same thing in Quickbooks ONline?

K
Kevin_C
May 23, 2022

I appreciate you for joining this thread, @randialynch. I'll make sure you can record the overpayment from your vendor and apply it to any future bills in QuickBooks Online (QBO).

 

We can record this as a vendor credit in QBO. Let me walk you through the steps:

 

  1. Open your QBO account, then click the (+) New button.
  2. Choose Vendor credit.
  3. In the Vendor dropdown, select your vendor.
  4. Depending on how you record purchases with this vendor, enter the Category details or Item details. 
  5. Fill in the necessary information.
  6. Select Save and close.

 

Then, you can apply a vendor credit toward any open or future bill. When you’re ready to use the credit, follow these steps to proceed:

 

  1. Click the + New button.
  2. Choose Pay bills.
  3. Select a bill for your vendor from the list. You'll see the available credit with this vendor in the Credit Applied field.
  4. Complete the rest of the fields like you normally do when recording bill payments.

 

For more information about this process, you can refer to this article: Handle vendor credits and refunds in QuickBooks Online.

 

In case you want to record a vendor refund in QBO, you can follow the steps outlined in this article: Enter a refund from a vendor.

 

Additionally, you may open this article to view details on how to run a particular report that will reflect all payments made to vendors: Run a report with vendor totals.

 

Please let me know if you have additional questions or concerns about handling overpayments in QBO. I'll be here every step of the way. Keep safe!

S
Sibyl
April 12, 2023

How do I process the refunded overpayment in QBO?

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