Entering Deposits

This article explains how to enter an AR check in advance of being invoiced. These checks will be kept within Enter Receipts so that they can be linked to an invoice in the future.

Considerations

• When the check exceeds the amount of the invoice, the extra money will also remain around to be linked to a future invoice.

• This will happen even if the excess amount is minor. The process of writing-off these amounts is easy once necessary setup has been completed.

Process

1. Select Enter Receipts from the Receipt sub-menu under Accounts Receivable:

   

2. Enter values for the Customer, Check Number, and Amount fields. The cash account into which the check is to be deposited defaults from the customer setup:

   

3. Upon saving, the system will indicate that the check will be recorded as a deposit. All checks are deposits. However, this means that it will be available within the Deposits pop-up window, to be tied to an invoice in the future:

   

4. To enter more receipts, insert a new record and continue. When finished, move along the train to Print Edit List to verify the distributions:

   

5. The distribution will use whichever account is set in AR Control - which would usually be "Customer Deposits" or "AR Deposits":

   

6. An explanation regarding why this is always a liability account can be found here.

7. Once reviewed move along the train to the Post Receipts node. Click the Post button to post the receipt(s):

   

Applying an Invoice to a Deposit

1. Return to the Enter Receipts program. Click the Deposits button:

   

2. This pop-up window shows all available deposits. Select the required deposit and then select Commit:

   

3. This brings up the check that was previously entered and the invoice can be linked to this check by selecting the Invoices button:

   

4. Select the invoices that you would like to apply the deposit to and select the Accept button: