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S
smarder-trinityu
August 10, 2023
Question

How do you create a journal entry in AR without cancelling each other? I.e an in-and-out journal entry

  • August 10, 2023
  • 2 replies
  • 0 views
When i try creating a journal entry into the same account, insteasd of showing as a debit and credit, QuickBooks just cancels them out.

2 replies

A
Amanda-B
August 10, 2023

Hey there smarder-trinityu,

 

Welcome to the QuickBooks Community! Thanks for reaching out to us here. QuickBooks Online is a powerful software that can help keep your books balanced. Making sure you record your transactions correctly in QuickBooks is an important step in maintaining clean books. I recommend reviewing this article on how to correctly create journal entries in. 

 

If you require further assistance, I recommend that you contact an accounting professional for expert advice. They will be able to point you in the right direction so that your accounts can end up with the correct balance. Having an accountant can be beneficial for you and your business. You can add your accountant to your books by going to the My Accountant tab in your QuickBooks account. You can also find an accountant who has experience with QuickBooks near you by clicking the Find a professional to help you option in this section.


If you have any further questions, please do not hesitate to contact us here.

A
AdminAndrea
August 14, 2023

What type of entry are you doing that you have a debit and a credit for the same AR account?  

S
smarder-trinityuAuthor
August 14, 2023

It is an ntry to represent an overpayment for something, but then the next month they will deduct it.  I.e. They only owe me $100 but pay $150, then in the next month, they owe me $75, but because of the $50 OP they only actually paid $25. I need a way to show a) the receivable of $50, and b) the $50 credit on 2nd payment

A
AdminAndrea
August 14, 2023

If you customer has an open invoice for $100 and they make a payment of $150, enter the payment of $150.00 against the open invoice.  This will pay the invoice of $100 in full AND create a credit on their account.  Make sure you enter some details in the memo section of the entry. 

 

This $50.00 credit on account can then be used next month when they make the payment of $25.00 (against the invoice of $75.00, using the credit on account of $50.00 resulting in a balance owing of $25.00).  

 

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