Unapplied payments

Good day, @Stincil. Let me share info about handling unapplied payments in QuickBooks Online.

Unapplied payments are funds received from customers that haven’t been assigned to any sales forms. In other words, you’ve received the money but haven’t recorded it on a sales form.

Here are other reasons for seeing unapplied cash payments:

• Deleted invoices that were already paid.
• Customer prepayments were recorded before the sales form (invoice or sales receipt) was created.
• Payments are entered without being linked to any sales forms.

If these are actual customer credits, you can apply them towards any open invoices. Doing this will clear them and reduce your customer balances.

I also recommend consulting with your accountant to verify that your records are accurate. They can offer additional advice on managing unapplied payments in the system.

Moreover, you can check these resources for additional reference about unapplied payments:

• What's Unapplied Cash Payment?
• Unapplied cash payment income on your profit and loss
• What to do if you see unapplied cash bill payment expense on your profit and loss

If you have further questions about handling unapplied payments, just add them to the thread. I'll be here to help.

None of that helped. I'll ask our accountant. Thanks.