How do I account for invoice payment in the form of multiple checks covering a customer's remaining balance across multiple projects (checks dont match invoices)?

Enter a receive payment for each check and select any portions of tgat customer's invoices that add up to that particular check. You are not restricted to posting a payment only for a full amount.

Post the checks to Undeposited Funds, then creaye a Deposit that includes tgese and equals your trip to the bank

Thanks for the response. I guess I should have mentioned I tend to use Mobile Deposit for check deposits, which would result in multiple separate deposits that don't neatly tie to invoice payment amounts. EDIT to clarify question: How then would I create a "Bank Deposit" that includes the payments received if they don't match?

Hi there, aaronfuzion.

I'd like to add to this discussion and add to john-pero's awesome answer.

Good news! The Receive Payments feature in QuickBooks Online will immediately ask for a Deposit To account. That said, you don't have to make separate Bank Deposit transactions since QuickBooks will automatically do that for you after you follow john-pero's suggestion.

Just make sure to choose the Undeposited Funds as the Deposit To account and enter the exact amount of each payment to guarantee that they match your downloaded bank transactions. For additional insight about this, I'm also including these helpful articles:

• Receive Payments
• Add and match downloaded banking transactions

That should get you going in the right direction. Please don't hesitate to reach out again if there's anything else I can do for you. Wishing you all the best!

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@aaronfuzion wrote:

Thanks for the response. Let's say the balance on the invoice for Project A is $500, and the balance on Project B's invoice is $750. The customer sends me two checks, one for $300, and one for $950. Let's also say I have received and deposited these two checks on two different days. If I receive payment for the $950 check and apply it to Project B ($750 invoice), then the customer gets a credit of $200? And I can then subsequently receive payment for Project A and apply the $200 credit along with the $300 check?

 

EDIT: I tried this, and was successful, with some difficulty. In case someone else comes here looking for answers on this topic, it's important in the "Receive Payment" screen to use the parent customer and not the project name for the "Customer" field. If you try to apply payments with the project as the customer, QBO will not allow you to access the parent customer's credits to be used as payment. With the parent customer in the "Customer" field, I have access to all of the invoices from various projects, and any payment that exceeds the invoice in question will result in a credit on the customer's account, which can be applied to another project's invoice, but again, only if you use the parent customer as the "Customer". Thanks for the insight, everyone.

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Yes you are correct. You have to apply payments to the parent customer account in this fashion to split the partial payments across the projects.

Thank you!  The QBO Support could not give me an answer, just too bad, this is how the system is created.  And yet, here, you had the solution.  Thank you.