cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Frequent Explorer **

Payment received in cash but not deposited all

Hello,

 

Let's say I received a full cash payment for my $1500 invoice. I deposited only $600 of it because I paid $900 of it to my contractor.

 

If I mark the invoice as paid, it'll be shown on my reconcile page as $1500 one amount. So my questions are:

How to mark that invoice paid with showing $600 will be deposited and $900 is paid to the contractor?

 

Thanks.

Solved
Best answer 07-03-2019

Accepted Solutions
Anonymous
Not applicable

Re: Payment received in cash but not deposited all

Thanks for the follow-up, @esurmen.

 

Let me help provide additional details when making a deposit for the $600 amount.

 

You can Make Deposits for the $1500 payment and enter another line item for the contractor's payment. Choose an expense account for the payment and enter a negative amount. Please see attached screenshot below.

 

 

That should do it. For other references you can use in the future, you may check this helpful link: Income and expenses for QuickBooks Desktop.

 

If I can be of further assistance with your deposits, please let me know. I'm always here to help. Have a good one. 

View solution in original post

9 Comments
Established Community Backer ***

Re: Payment received in cash but not deposited all

you receive payment against the invoice

then you deposit the full amount

 

write a check to the contractor for his amount.

 

if you paid him cash

deposit the full amount and at the bottom use the cash back and select the cash type bank account. then pay the contractor from the cash bank account

Frequent Explorer **

Re: Payment received in cash but not deposited all

Thank you for your reply. What if I did not deposit the full $1500 but only $600? How should I record it in this way? Because I tried these steps but did not work:

 

Marked invoice as paid $1500 full in cash

Paid my contractor in cash for $900

The remaining $600 is open on one side. But if I mark the invoice as only $600 of it is paid, then my invoice is shown as open.

 

Thanks.

Frequent Explorer **

Re: Payment received in cash but not deposited all

And also, I went to Make Deposits and selected the $1500 invoice, but changed the deposit amount from $1500 to $600, then tried to save it. However the warning window said I have to go back to the invoice and change the payment amount, then make the deposit.

Anonymous
Not applicable

Re: Payment received in cash but not deposited all

Thanks for the follow-up, @esurmen.

 

Let me help provide additional details when making a deposit for the $600 amount.

 

You can Make Deposits for the $1500 payment and enter another line item for the contractor's payment. Choose an expense account for the payment and enter a negative amount. Please see attached screenshot below.

 

 

That should do it. For other references you can use in the future, you may check this helpful link: Income and expenses for QuickBooks Desktop.

 

If I can be of further assistance with your deposits, please let me know. I'm always here to help. Have a good one. 

View solution in original post

Not applicable

Re: Payment received in cash but not deposited all

Hi there, I am struggling with a similar situation. I am using the Accounting Online QB. I received the payments for two customers in their cash payments. The owner's withheld $3000 of the $7450 in cash for owner distribution. I am aware that the $3000 needs to be recorded as owner distribution, but my deposit only is for $4450. One of the customer's is reflecting as deposited, but the other customer's invoice is not. I am not sure why this is occurring.  Can you let me know what process I am missing? Again, I am not using the desktop version, so the steps 'look' different in recording. I realize this isn't complex for a usual system, but for some reason this one has me stumped in recording in QB.

Steps to perform. Receive the invoice payments in cash, in full.

What to do with the deposit. A JE? and then deduct the owner's distribution? It won't recognize the money deposited is tied to those invoices when I proceed  this way.

Anonymous
Not applicable

Re: Payment received in cash but not deposited all

It's a pleasure to have you here, @joanycopeland,

 

Recording your sales together with the owner's distribution is easy. To do that, follow the steps I've outlined for you.

 

First, let's add a new invoice and deposit the payment.

 

  1. Tap the Create (+) icon, and pick Invoice.
  2. Type the customer name on the Customer field, and complete the information of the sale.
  3. The amount should be the full amount of $7450.
  4. Lastly, choose Save and close.

Next, receive the invoice payment to remove the A/R balance, then deposit it to the Undeposited Funds Account.

 

  1. On the invoice, click the Receive Payment button.
  2. Select the correct invoice on the Outstanding Transactions section.

  3. In the Deposit to field, choose Undeposited Funds.
  4. Click Save and send or Save and close.

Lastly, create a Bank Deposit for $4450 to match it with your bank statement. Here's how:

 

  1. Click the QuickBooks Plus (+) icon.
  2. Select Bank Deposit.
  3. From the Account field at the top, add the financial institution you'd like to deposit the funds.
  4. Mark the customer name you invoiced.
  5. Expand the Add funds to this deposit section to add a new line item.
  6. In the Account column, add the owner's distribution account.
  7. Make sure the Amount section matches the net bank deposit on your bank.
  8. Click Save and close.


 I've also added some helpful resources for you:

 

How To Create An Invoice (Tutorial)

Receive Payments in QuickBooks (Tutorial)

 

Please stay in touch if you have any questions with the recording process. I'll be more than happy to help whenever you need one. Have a wonderful week!

Not applicable

Re: Payment received in cash but not deposited all

Thank you. The only thing is that Hoyt's invoice shows as unpaid. I am confident it is tied to perhaps the 5 payments it may be linked to but I am not sure how to sequentially deduce where the issue is occuring, and now I have a completely unrelated credit card deposit (that payments are deposited to a completely differing bank account).

Moderator

Re: Payment received in cash but not deposited all

Hi joanycopeland,

 

Since the invoice is linked to 5 payment transactions, you need to transfer the $4450 amount from Petty Cash to your business bank account. 

 

Let's first create a Petty Cash account, so you can receive the payment from invoices. Then, create a check for the Owner's distribution.

 

Here's how:

  1. Sign in to your QuickBooks Online (QBO) account.
  2. From the Plus (+) icon, choose Check under Vendors.
  3. Choose a payee and select Petty Cash as the bank account.3.PNG
  4. Fill in the Category details section and enter the $3000 amount.
  5. Once done, click on Save and close.

Now, transfer the $4450 amount to your business bank account:

  1. From the Plus (+) icon, choose Transfer under Other.
  2. Choose Petty Cash in the Transfer Funds From drop down.
  3. Then, select your business bank in the Transfer Funds To drop down.
  4. Click on Save and close once done.Step 2.PNG

You'll have to go through each customer and pay the invoice. Since we are unable to receive payment if the single deposit you received belongs to different customers. 

 

Let me share this article for future reference: Record a customer payment.

 

Please let me know if you have any follow-ups or other questions. I'm here to help. Have a great day.

Not applicable

Re: Payment received in cash but not deposited all

Thank you for your help.

Need to get in touch?

Contact us