cancel
Showing results for 
Search instead for 
Did you mean: 
LydiaMAC
Level 2

Annual Invoice, monthly payment fee

QB Enterprise. Have an Annual contract which is paid down over time. Payment amounts preset, but I usually try to pay off early, as there is a monthly fee for each payment. How do I account for this fee which is not part of the on going balance? Am using Bill Pay to account for overall balance of the contract, but can't seem to find a way to separately add in the fee without it reducing the original balance. When bill is paid, the additional fee of $6 doesn't/shouldn't go toward the original contract balance.

2 Comments
Anonymous
Not applicable

Annual Invoice, monthly payment fee

You are using AP accounts payable to hold the unpaid amount adn are then "paying bill' to make the monthly payment.

Alternate is to hold the open amount in a current liability account - and then 'write cheque' for the monthly payment. In the write cheque screen you would code an 'expense tab' line to the liability account, and then also have the option to add extra lines which can be used for the monthly fee.

qbteachmt
Level 15

Annual Invoice, monthly payment fee

When you enter this into QB, you use Two Lines. The Check or Bill or Credit Card Charge is where you enter Splits: To Principal and to Fee or Interest. If you have one Bill, then add the fee as a New Bill each cycle, and "pay" both Bills. Pay the one bill Partially and the other (fee) in full.

Sign in for the best experience
Ask questions, get answers, and join our large community of QuickBooks users.
Sign In / Sign Up

Need to get in touch?

Contact us