Skip to main content
M
Maytree73
June 28, 2022
Solved

Recording supplier overpayment as credit

  • June 28, 2022
  • 1 reply
  • 0 views

Hi,

we've overpaid a supplier & in order to match the transaction on the bank I need to create an overpayment to sit as a credit on the supplier account.

I've read lots of threads on the community saying to create a supplier credit and then a bank deposit to match it to, but to create a credit I need to credit an expense account and they vary with this supplier & I don't want to impact VAT as it's just a payment on account.

Please talk me through the steps to record the overpayment and link it to the supplier to be used as a credit against future bills.

Thanks :)

Best answer by Ashleigh1

Hello Maytree73, 

 

Welcome to the Community page, 

 

If you have overpaid a supplier then when you select make payment you enter the amount that you actually paid the supplier and this will auto create the supplier credit, if you want to use this credit in the future then you simply leave the credit on the system and attach it when you make payment on another bill. If the supplier is paying the amount back then you would also create a deposit and in the account column of the add funds this deposit section select the creditors account and enter the amount, you would then link the deposit and the credit that has been created by creating a cheque payment, enter the suppliers name in the payee field and the deposit and credit will appear, add them, save and close. 

 

1 reply

A
Ashleigh1Answer
June 28, 2022

Hello Maytree73, 

 

Welcome to the Community page, 

 

If you have overpaid a supplier then when you select make payment you enter the amount that you actually paid the supplier and this will auto create the supplier credit, if you want to use this credit in the future then you simply leave the credit on the system and attach it when you make payment on another bill. If the supplier is paying the amount back then you would also create a deposit and in the account column of the add funds this deposit section select the creditors account and enter the amount, you would then link the deposit and the credit that has been created by creating a cheque payment, enter the suppliers name in the payee field and the deposit and credit will appear, add them, save and close. 

 

M
Maytree73Author
June 28, 2022

Thank you, I stupidly wasn't overwriting the Amount field and kept trying to change the amount next to the invoice being paid!

Terms & ConditionsAccessibility statement