Thursday, January 27, 2011

QuickBooks: Applying Customer Payments to Multiple Jobs

A Construction Trade client asked how to enter payment when the check total includes balances for multiple jobs. He specifically wants to be sure that there is a running invoice/payment history for each job.

This is a very common situation, and the answer is to enter a separate payment received transaction for each job/invoice. For example, the Customer has balance for 5 jobs (A, B, C, D, E), and a check was received for $3,000.00. The breakdown is as follows:
Job A - $500.00 Job C - $750.00 Job D - $1750.00

To apply the payment to the individual jobs/invoices use the following steps:
1. Choose Customers Receive Payments.
2. In the Received From field, select Customer:Job A.
3. Enter $500.00.
4. Enter the check number.
5. Select the invoice.
6. Click Save & New.
7. In the Received From field, select Customer:Job C and repeat steps 1-6
8. In the Received From field, select Customer:Job D and repeat steps 1-6

Each transaction uses the same check number, of course. Make sure you send payments to Undeposited Funds, not to a bank account. When you select the multiple payments in the Make Deposit window, the deposit total is equal to the amount of the check.


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