AR and Bill Pay

BrynS · ‎September 26, 2025

We regularly record JEs to add to AP for an amount is already recorded as an expense in the system, because we're holding back the payment for some reason and need to reflect this on our balance sheet to offset the P&L. When the payment does get released, we have been putting in a reversing journal entry. This works well and manages all balances correctly. However, all of these JEs are creating Bills in the system so our Bill Pay list is huge, even though we've already made those payments. Instead of reversing journal entry, is there a way we can use Pay Bills instead?

MichaelaS

Thank you for sharing the details, BrynS. Yes, you can use Pay Bills to link the open bill with the Bill payment instead of reversing journal entries.

This will clear the bill, keep your Bill Pay list accurate and managing balances correctly without extra bills piling up.

If you need additional assistance with handling the previous Journal Entries, please consult your accountant.

Please leave us a response if you have other questions or concerns.

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