bad debt

Let me guide you on how to write off a bad debt in QuickBooks Desktop, Eve2019.

You can record uncollectible invoices to ensure your accounts receivable and net income stay up-to-date. To do this, follow the steps provided below:

Step 1: Add an expense account to track the bad debt.

1. Go to the Lists menu and select Chart of Accounts.
2. Select the Account menu and then New.
3. Choose Expense, then Continue.
4. Enter an Account Name, for example, Bad Debt.
5. Click Save and Close.

Step 2: Close out the unpaid invoices.

1. Go to the Customers menu and select Receive Payments.
2. Enter the name of the customer in the Received from field.
3. For the Payment amount, enter $0.00.
4. Select Discounts and credits.
5. In the Amount of Discount field, enter the amount you'd like to write off.
6. For Discount Account, select the account you added in step 1, and then Done.
7. Click Save and Close.

Additionally, QuickBooks offers a variety of reports where you can check your customers' open balances. You'll only have to customize them to ensure you'll get the data you need. I've added this article for more details: Customize Reports in QuickBooks Desktop.

Please visit here again if you have other concerns when writing off bad debt. The Community is here to help you anytime. Take care and stay safe.