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Is there an easy way to deal with sales invoice underpaid due to bank charges being levied. QuickBooks desktop lets you quickly write these off as bank charges. Can QBO do the same?
Solved! Go to Solution.
Hello there, @buzz21. I'd be happy to share the steps on how to handle bank charges in QuickBooks Online (QBO).
The first thing you need to do is to receive the full payment for the invoice. Here's how:
1. On the invoice, click the invoice on the Receive Payment button.
2. Select the correct invoice on the Receive Payment screen.
3. In the Deposit to field, choose Undeposited Funds.
The next thing we need to do is record a bank deposit. This is where we record bank fees. You can follow this steps below:
1. Click the QuickBooks + New Menu.
2. Select Bank Deposit.
3. Mark the invoice payment you received previously from the Select the payments included in this deposit section.
4. Expand the Add funds to this deposit section to add a new line item.
5. In the Received from column, enter the credit card fee as a vendor.
6. In the Account column, add an expense account for the fee.
7. In the Amount field, enter a negative fee amount.
8. Make sure the deposit matches the net bank deposit amount.
9. Click Save and close.
Additionally, If you also want to record bank deposits, check out this article: Record and Make bank Deposits in QuickBooks Online .
If you need further assistance, especially in recording bank charges, don't hesitate to reach out to us again. Enjoy your day!
Hello there, @buzz21. I'd be happy to share the steps on how to handle bank charges in QuickBooks Online (QBO).
The first thing you need to do is to receive the full payment for the invoice. Here's how:
1. On the invoice, click the invoice on the Receive Payment button.
2. Select the correct invoice on the Receive Payment screen.
3. In the Deposit to field, choose Undeposited Funds.
The next thing we need to do is record a bank deposit. This is where we record bank fees. You can follow this steps below:
1. Click the QuickBooks + New Menu.
2. Select Bank Deposit.
3. Mark the invoice payment you received previously from the Select the payments included in this deposit section.
4. Expand the Add funds to this deposit section to add a new line item.
5. In the Received from column, enter the credit card fee as a vendor.
6. In the Account column, add an expense account for the fee.
7. In the Amount field, enter a negative fee amount.
8. Make sure the deposit matches the net bank deposit amount.
9. Click Save and close.
Additionally, If you also want to record bank deposits, check out this article: Record and Make bank Deposits in QuickBooks Online .
If you need further assistance, especially in recording bank charges, don't hesitate to reach out to us again. Enjoy your day!
Thanks for your help Carneil_C, although that seems unnecessarily complex! Also as an Accountant I must say that it is not good to record an invoice as fully paid when it is not so. This is not good practice.
This process (like so many things) is so much better in QuickBooks desktop where the system notices that an invoice is underpaid and asks if you want to leave that be or write it off. After the first time it then remembers where you write off to (bank charges) and its really quick going forward and only the correct (actual) transactions are recorded. Please can you forward to your developers a request to mirror the better process in QuickBooks desktop?
The lesser amount has already been recorded in the system at the point of receipt so I've just entered a journal for the remaining balance debited the bank charges to clear it. Thanks for your time.
Hi Carneil, any chance of an acknowledgement to my previous post? Takes a lot of effort to bother to give feedback so an acknowledgement would be great please.
Hello Buzz21, we appreciate the time for leaving this feedback for us we will pass this onto the developers on your behalf.
@buzz21 is right about this feature needing to be added to QB Online. This is a HUGE inconvenience since being forced to a very under-developed cloud interface. Not happy with QB at all. Packaging Slips are a complete joke as well in QB Online.
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