#Quickbooks credit memo report how to#

For example, click into the payment and you can tick off the invoice that it applies to. You might also see unapplied journal entries, checks, etc depending on the specific situation and how it was recorded at the time. If you see one line on the Open Invoices report stating $-200 and the line immediately above or below indicating $200 you likely have an invoice that did not have its related payment or credit memo applied to it. Unapplied payments, journal entries or credits Instead, write off the amount using a credit memo and a bad debt item. Don’t just change the invoice amount! While that would technically solve your problem it doesn’t leave an accurate audit trail. If you aren’t going to go after the customer for the difference, write off the balance. If the amount is really small though it likely indicates the customer short paid the invoice by a small amount. If you can find a payment screen indicating overpayment you are safe to write off the credit / negative AR balance to an income account.Ī positive AR balance is the normal debit balance the account should have. As with any number on this report, double click for more detail. Large negative numbers, depending on your accounting practices, could be deposits on work not yet invoiced. If it has been over a year and it is unlikely that the customer will order more services from you go ahead and write off the overpayment.īefore you go writing these off, make sure they are not deposits especially if they are large negative numbers. Click the Credit radio button to account for the return of goods. Once done, record a Bill Credit for the refunded amount: From the Vendors menu, select Enter Bills. (Optional) Enter a memo, check number, payment method, and class. Enter the customer’s name and contact information. In the Amount column, enter the actual amount of the Vendor check.

Select Credit Memo from the list of available forms. Creating a credit memo in QuickBooks is a simple process that requires the following steps, such as: Log into QuickBooks and head to the Create tab.

#Quickbooks credit memo report how to#

These are likely customer overpayments that were left on account at the time the payment was received. Also, you've mentioned earlier that you've added a memo line, the second report will give you the details by following these steps: Go to Reports and then select Accountant & Taxes, then choose Transaction Detail by Account. How to Create a Credit Memo in QuickBooks. Also, look for small positive and especially negative numbers. Scan through and look for any positive and negative duplicate numbers that should offset each other, but are not. If you have any unapplied payments, journal entries, or credits it will show clearly on this report. This report technically shows the same information, but it makes certain housekeeping needs stand out. Generate a standard 'Sales by Product/Service Detail' report. It is a good idea to view the Open Invoices report once in a while though as well. Steps to Pull a Credit Memo Report in QuickBooks: 1. When determining how much customers owe I usually view the AR Aging Summary report in QuickBooks as it is a nice compact report and I can click into any amount if I need more detail.