Is there a way to match multiple payments to multiple invoices?

methis · ‎January 04, 2022

Some of my financial clients prefer to make lots of small wire payments from each of their different funds that add up to what I've invoiced. In this case the client aggregated two of my invoices and has paid out eight separate payments to cover the total amount invoiced (sum of the two invoices). I don't know which payments to apply to which invoice, and trying to apply them as partial payments doesn't work because they'll only add up to the sum of the two invoices. I see one solution:

1. combine the invoices, then apply each wire transfer payment to the new, combine invoice as a partial payment

2. use a bank deposit to account for any forex gain/loss once all partial payments have been applied

Does anyone see another way to think through this? Or am I overthinking it?

JonpriL · ‎January 05, 2022

Joining the thread to offer help, @methis. I want to ensure you're able to match your transactions.

You can match multiple downloaded payments to existing invoices. Let's do it one payment at a time until we close the invoice. Let me provide you a sample screenshots to illustrate how this will work.

Say this is the $2502.13 downloaded payment matched with the $10K invoice:

Next, is the $12,345.50 downloaded payment matched with the $10K invoice:

You may also read this reference that'll guide you anytime in making sure the amounts of transactions in QuickBooks match your real-life bank and credit card statements: The Reconcile Workflow in QuickBooks.

If you've got questions other than working with downloaded payment and invoices, please let me know in the comments. Use the Reply button below so that I can continue assisting you. Take care and stay safe!

View solution in original post

JessT · ‎January 05, 2022

Hi methis,

Sorry for giving you a different answer. For me, it's easier if you record the transactions based on the real scenario.

First, record each deposit since that's really what happened. You can categorize them as Accounts Receivable so they turn into credits, which can later be applied as payment to the invoices. Then, you can match these deposits to the downloaded transactions. That will do it.

This is the first deposit. Just enter the second and third deposits like this.

Pay the invoice/s using the deposits. Just open one invoice and click Receive Payment. On the payment page, select the deposits to be applied. QuickBooks will compute the amount to be applied as payment as you select deposits.

After this, you can match the deposits.

Here are some articles for your additional reference:

If there's anything else that I can help you with, please let me know. Take care!

View solution in original post

AlcaeusF · ‎January 04, 2022

Hello @methis,

Thank you for posting here in the Community. I'd be glad to assist you with your concern about matching payments to invoices in QuickBooks Online.

Currently, the option to match multiple payments to multiple invoices is unavailable. As of now, you can only match a bulk payment to multiple invoices (see screenshot below).

Also, it would be better to have multiple invoices for multiple payments. This way, you'll be able to match them seamlessly in Banking.

You can check this article to know more about how you can get rid of the downloaded bank transactions in QuickBooks: Exclude a bank transaction you downloaded into QuickBooks Online.

Drop me a comment below if you have any other questions about the invoices and customer payments. I'll be happy to help you some more.

methis · ‎January 05, 2022

Thanks for the reply. Right, your solution would be ideal, but I don't think that will work here (unless I'm missing something). For example, I've got two invoices ($10K + $5K) the client paid. But they paid out $15K as eight separate wire transfer payments in Banking, in amounts I can't match to either transaction (e.g. $2502.13, $12,345.50, $4,909.80, etc.) as partial payments. I've tried to apply them as partials to one invoice or the other in different combinations--it never works. I end up with remaining balances on the invoices or overpaying each one, which causes other problems.

Afaik we can't split Banking payments among invoices, so I'm puzzled. Again, I may be missing something obvious because I've rarely had to deal with situations like this.

JonpriL · ‎January 05, 2022

Joining the thread to offer help, @methis. I want to ensure you're able to match your transactions.

You can match multiple downloaded payments to existing invoices. Let's do it one payment at a time until we close the invoice. Let me provide you a sample screenshots to illustrate how this will work.

Say this is the $2502.13 downloaded payment matched with the $10K invoice:

Next, is the $12,345.50 downloaded payment matched with the $10K invoice:

You may also read this reference that'll guide you anytime in making sure the amounts of transactions in QuickBooks match your real-life bank and credit card statements: The Reconcile Workflow in QuickBooks.

If you've got questions other than working with downloaded payment and invoices, please let me know in the comments. Use the Reply button below so that I can continue assisting you. Take care and stay safe!

methis · ‎January 05, 2022

thanks for the helpful explanation @JonpriL.

So, in your second example image, after applying the $7497.87 and closing out Invoice #423, I can take the leftover $4847.63 and apply it to another invoice? Could you share an image of how that looks in Banking? Thanks.

JessT · ‎January 05, 2022

Hi methis,

Sorry for giving you a different answer. For me, it's easier if you record the transactions based on the real scenario.

First, record each deposit since that's really what happened. You can categorize them as Accounts Receivable so they turn into credits, which can later be applied as payment to the invoices. Then, you can match these deposits to the downloaded transactions. That will do it.

This is the first deposit. Just enter the second and third deposits like this.

Pay the invoice/s using the deposits. Just open one invoice and click Receive Payment. On the payment page, select the deposits to be applied. QuickBooks will compute the amount to be applied as payment as you select deposits.

After this, you can match the deposits.

Here are some articles for your additional reference:

If there's anything else that I can help you with, please let me know. Take care!

methis · ‎January 06, 2022

what are the next steps after this? What happens to the outstanding balances from the portions of credits unused?

UPDATE: never mind, both solutions worked but I found this one slightly easier, even though it involved extra steps. For any readers, both these solutions work.

VeroniKa29 · ‎November 14, 2022

Hi Jees. Thanks for the detailed explanation. But what if 2 different customers pay for 1 invoice? Our goal is to create 1 invoice for each claim (5%-10% of the invoice is paid by the customer and the rest is paid by the insurance company). How can I do that? Already broke his head. That is, 1 invoice 2 customers and 2-4 payment

SergeiG · ‎February 20, 2024

@JessT

Hi. If I record these transactions with your scenario, how can I add bank charges for each transaction?

Because of bank charges I don't have 0.00 in Receive payment, instead I have this charges on my customer's balance.

Ethel_A · ‎February 20, 2024

Hello there, @SergeiG.

I'm here to help you record the bank processing fee in the Deposit and Receive Payment transactions using QuickBooks Online.

When creating a Deposit and Receive Payment transaction, you can add the processing fee as another line item.

First, Receive the payment to the undeposited funds, then create a bank deposit with the processing fee.

Here's how:

Scroll down to the Add funds to this deposit section.
Enter the fee as a line item.
Select who the fee was from (for example, the bank charging you).
Choose Bank Charges from the Account ▼ dropdown.
Enter the amount fee as a negative number. For example, if the fee was US $.50, enter –.50.
Review the deposit total with the bank fee.
Click Save and close or Save and new.

Here is an article for the detailed steps in making deposits: Record and make bank deposits in QuickBooks Online.

For future reference, you can also read these articles to help you manage invoices in QuickBooks Online:

Feel free to click the Reply button below if you have questions about managing invoice payments with bank processing fees in QuickBooks Online. I'm always here to help. Have a great day.

SergeiG · ‎February 21, 2024

Thank you, I add bank charges and matched payments.

But now if i look to this customer's payments and invoices page, I see balance 0, all payments and invoices matched, but total in the bottom is not 0 (I have attached the screenshot). It is 76.57 CAD

Why is this happening? There are no other invoices or payments connected to this customer.

Bryan_M · ‎February 21, 2024

It's good to have you here, @SergeiG.

We appreciate the screenshot you shared. Let me provide info about the Total (CAD) amount shown.

The Total (CAD) section under the customer overall Transaction list, is just the total amount of the Payment, Invoice, and Deposit of the customer. Whether the STATUS is Closed, Paid, or Deposited. Also, the negative sign is a minus of the overall total amount.

There's nothing to worry about as long as the Open balance and Overdue payment are zero and verified by checking the transaction statuses.

You might want to send your customers the summaries of their invoices, payments, credits, and balances. Feel free to read this article: Create and send customer statements in QuickBooks Online.

If you have additional questions about customer transactions, leave a comment below. I'll be willing to lend a hand. Have a good one.

Topics

Training

Community

Resources

Is there a way to match multiple payments to multiple invoices?