Splitting Deposit

Hello there, @sw1222.

Let me help you on how to match the payment to the invoice that is matched with an open invoice, and the other to be categorized as a liability.

We can use the split feature on the banking page, link the A/R account for payment of an open invoice, and then link to liability account to the other half.

Here's how to split transactions between multiple accounts:

You can split transactions, such as a large business travel expense, between multiple accounts for better tracking.

1. Go to the For Review tab.
2. Select the downloaded transaction to expand the view.
3. If the option in the Action column is Match, change the Find match to Categorise.
4. Select Split next to the Add button.

This opens the Split transaction window.

1. From the Category dropdown, select the categories (the accounts) you want to split the transaction into.
2. Enter an Amount for each split.
3. Select a Customer or Received From for each split.
4. Note: The field name may vary depending on the transaction.
5. When you're done, select Apply and accept.

Once done, and deposit is assigned to A/R and will be credited to the customer. The next thing is to receive payment and apply it as payment to that invoice.

Furthermore, you can also check this article for more details and run basic reports to give you a snapshot of your business:

Run reports in QuickBooks Online.

Keep me posted if you have any additional questions about splitting deposit concerns. I'll be right here to help. Keep Safe!