Clearing Journal Entries

Abskiboo · ‎November 18, 2021

Hello.

I would like to find out how to clear a customer's entry in the A/R Summary. It actually shows a "blank" balance, but the customer is still showing up in the A/R Summary. When I click on it, it leads me 2 Journal Entries.

1. August 1, 2020 - for a Debit - A/R ($100) and Credit - Bank Account ($100)

2. August 31, 2020 - for a Credit - A/R ($100) and Debit - Rent Recovery ($100)

The 2nd entry shows it's a "Reversed" entry.

Even though the balance is now zero. It's still showing up in the A/R Summary. I know how to apply a Journal Entry if there's an existing invoice. But, in this case, there's none. It's for the previous Fiscal Year, so I don't want to create more backdated entries. (And, obviously, this was before I took over the accounting job)

Thank you!
Abie

Angelyn_T · ‎November 18, 2021

Hi there, Abskiboo. I can share with you the steps on how to clear the customer's entry in the A/R Summary.

This happens when there's a customer credit that's not applied to an invoice or a payment. To clear the balance, you can record a Receive Payment, then link the existing credit. You may use today's date in tracking the entry.

Go to the Customers tab, then select Receive Payments.
Select the customer name from the drop-down menu.
Mark the box on the existing transaction, then tap on Apply Credits from the Unused Credits section.
Select the available credits, then hit Done.
Save the transaction.

Once done, review the balance on your A/R Summary.

You may also check with your accountant for other options in clearing the customer's entry. He or she can look into your account and keep your balances in place.

I'm adding this link for more tips about running your A/R and other QBDT reports: Understand reports.

You can also get more hints about the AR workflow in QBDT by opening this article: Get started with customer transaction workflows in QuickBooks Desktop.

Please feel free to get back to me here for any additional questions with your A/R reports and balances. I always have your back. Wishing you a good one!

View solution in original post

Abskiboo · ‎November 18, 2021

Hi Angelyn

Thank you so much! That was easy, I didn't think of doing it that way.

Appreciate the quick reply!

Abskiboo