Applying late fees to your sales invoices is easy in QuickBooks Online (QBO), accounts. We'll gladly guide you on how to do this below.
We'll have to manually apply late fees as a line item to your overdue invoices to charge your customers accordingly. If you haven't created the said fee as a service item, follow these steps:
- Go to Settings and select Products & services.
- Select New, then choose Service.
- In the Name field, enter a name for the service.
- (Optional) From the Category dropdown, select the category that best describes the fee.
- (Optional) Fill out the rest of the fields.
- Select Save and close.
Once you're done, add the late fee item to your sales invoice. Then, you can automatically or manually send reminders to customers to gently prompt them about their due dates.
Also, you can pull up the Transaction Detail by Account report to show a list of invoices due on a specific date range. Please see this article for the complete guide: Customise report to show invoices due on a specific day in QuickBooks Online.
Leave a comment below if you have additional questions about managing late fees in QBO. We'll be willing to lend a hand. Keep safe.
