How to match? My invoices, when paid by direct payment, are marked as 'paid' appropriately. But the bank deposit also shows up as income, not associated with the invoice.

Hello there, @halbert_b. Thanks for reaching out here in the Community, I'd be pleased to take care of your concern and help you manage the deposit that you've received from your clients here in the QuickBooks Online (QBO).

In QBO, when you receive a deposit from your customers, you'll want to link them to the appropriate invoice to keep your records accurate and prevent errors when it's time to reconcile your accounts.

Before you can link a deposit to an invoice, there are a few things to consider:

• Make sure there's an invoice for the customer.
• Make sure there's a payment registered through Bank Deposit and not through Receive Payment.
• Confirm that the payment hasn't been entered and linked to the invoice.

You'll then want to edit the deposit and then put it in your Accounts Receivable. You can easily find the deposit entry in your bank register. Here's how:

1. Go to Bookkeeping or Accounting, then select Chart of accounts (Take me there).
2. Select Chart of Accounts.
3. Find the account you deposited the payment to and select View register.
4. Find and select the correct deposit. Then select Edit.
5. In the Add funds to this deposit section, find the deposit.
6. Select the Received From ▼ dropdown, and select the customer the deposit was from.
7. Select the Account ▼ dropdown. Then select Accounts Receivable.
8. Select Save and Close.

Once your deposit entry is updated, you can proceed to apply it as a credit to the invoice. These are the steps:

1. Select + New.
2. Select Receive payment.
3. Select the Customer from the ▼ dropdown. This displays all open invoices and outstanding credits for your customer.
4. In the Payment date field, enter the day you received the payment.
5. In the Outstanding Transactions section, select the invoice you need to mark as paid.
6. Under Credits, select the deposit.
7. Select Save and Close.

Additionally, I've got you these handy articles about how you can reconcile an account and fix a reconciliation in QuickBooks Online:

• Reconcile an account in QuickBooks Online.
• Fix issues the first time you reconcile an account in QuickBooks Online.

If you need help performing specific tasks in QuickBooks Online, feel free to post again here in the Community space. Rest assured, we are always ready to assist you. We also want to ensure that you're able to get back on track with your business. Take care and have a good one!

Not what I need, but thanks!

My invoice *is* marked as paid.

I can go to Sales -> Deposits, and find the relevant deposit. IT shows the customer, transaction ID, etc., and the attached invoice. If I click on that, it takes me to the invoice page (which again, shows 'Paid'.) This happened automatically (I did no associating myself; I assume QBO made this connection automatically when the customer clicked on the 'pay invoice' link at their end).

Now, I can go to 'Banking' and look at the linked bank account. The same deposit shows up here as a further deposit into my bank account by Intuit ("External Deposit INTUIT" with the same transaction ID as the above). Here, I would normally match this deposit into my bank account to the invoice, buuuut, the invoice is *already* paid. So I have this bank deposit sitting there for review.

Not sure how to review it.

I appreciate you for coming back to the thread for adding additional details about your concern, halbert_b. With this, I'll be providing the possible cause of why the invoice appears as paid. Then, to ensure you can match the payment to the associated invoice.

There are reasons why the invoices are showing as paid after you created them. It could be that:

• The invoice amount is zero ($0.00). That will automatically mark the invoice as Paid.
• There is an available credit under the customer's profile while the Automatically apply credits option is turned on.

If there is a credit applied to the invoice automatically, you can remove it by deleting the payment linking the credit and the invoice. Beforehand, I recommend turning off the Automatically apply credits option.

Here's how:

1. Click the Gear icon in the upper-right corner and select Account and Settings.
2. Choose the Advanced tab and go to the Automation section.
3. Turn off the Automatically apply credits.
4. Click Save and Done.

Once done, you can now follow the steps on how to delete the payment that has been linked to the invoice.

1. Open the invoice.
2. Click the 1 payment made hyperlink below the Receive payment button.
3. It will route you to the Receive payment window.
4. Click More at the bottom menu and select Delete.
5. Click Yes to confirm the action.

Once everything is accurate, you can now go to the Banking page and match the deposit and the invoice that has been entered. You can click this article to see further details on how to perform the process: Categorize and match online bank transactions in QuickBooks Online.

Lastly, you may click this article to view details on how you can reconcile your accounts to avoid discrepancies: Reconcile an account in QuickBooks Online.

Please don't hesitate to click the Reply button if you have any other questions. I'm always happy to help, halbert_b. Wishing you continued success!

This doesn't quite work: I'm unable to delete the invoice payment, I get this error:

"

But, a question: Really, there are two accounts involved: my quickbook payments account (which is automatically paying the invoice), and my bank account. I *like* automating the invoice payment, so is there a way to record the bank deposit as a *transfer* from my quickbooks payment account? (Like I do with credit card payments, for instance.)

I appreciate you following the steps shared by my colleague above and sharing the result with us, @halbert_b. I'm here to help you delete the invoice payment successfully and record the bank deposit as a transfer.

Once the invoice payment is already deposited, you can only remove the invoice payment by deleting the deposit. To do so, follow the detailed steps below:

1. Search for the deposited payment.
2. On the Deposit page, click More at the bottom and select Delete.
3. Click Yes to confirm.

Once done, go back to the invoice payment and delete it by clicking More and choosing Delete. This will surely remove the payment from the invoice.

On the other hand, you'll want to know that once your customer pays you via QuickBooks Payments, the payment will be posted in the Undeposited Funds account. This is the reason why there are two accounts involved when using QuickBooks Payments.

Also, you can record the bank deposit as a transfer from the Banking menu. Let me guide you how.

1. Go to the Banking menu, then select the appropriate bank account.
2. Select the For review tab.
3. Choose the bank deposit you want to record as a transfer.
4. On the transaction detail, select Record as transfer.
5. Select the bank account where you want to transfer the deposit.
6. Click Confirm once done.

You may also want to learn how QuickBooks Online automatically matches your QuickBooks Payments transactions for you, and how to manage the feature. You can check out this article for more details: Automatic matching for QuickBooks Payments.

Please let us know how it goes, @halbert_b. Our doors are always open to help you again if you have follow-up questions. Have a good one.

Hello,

I have a question, in my case I cannot used QBO to make invoices due to Florida regulations for the Auto Repair industry our invoices needs to be very specific, and the format have to abby with the Florida Department of Agriculture, that's the reason we cannot give our customers any regular invoice like the one in QBO.

My question is, How do I match my bank deposits with an invoice or sales receipts without duplicating my account receivables. I attempted to create an invoice in QBO for each transaccion I have every month, however, that will duplicates our sales. What is the best way to handle this situation?

Additionally, How do I record the invoices that have been paid in cash? Thank you in advance for all your help!

I can share some information that will help you, Autorep.

QuickBooks Online offers two options for recording sales transactions. If you want your customer to pay later, create an invoice. If they pay right away, generate a sales receipt instead.

The best way to record a cash payment is through sales receipts. Can you outline the process you used to keep track of every customer transaction? Any information can assist me with finding a solution to stop your sales from being duplicated.

On the other hand, matching bank deposit to the invoice or sales receipt depends on how it is recorded. You can apply it as credit and use the Accounts Receivable account to link it to the invoice by following the instructions KurtKyle_M provided above if you manually entered the deposit. If it's coming from downloaded bank transactions, go to the Banking page and match it to the sales receipt or invoice.

Additionally, you can run a report to get a snapshot of your business. If you want to focus on specific details, read this resource for a complete guide: Customize reports in QuickBooks Online.

I'll keep an eye on your response, don't hesitate to reply to this post for additional information. Have a great day.

How to tell where the direct deposit came from intuit?  The is no customer name attached to the deposit

Is there a way to find out?

Hello, @Syren. Yes, you can check who sent you the direct deposit by using the Merchant Service Center. Let me explain how you can do that.

1. Log in to the Merchant Service Center.
2. Navigate to the Activity & Reports menu and choose Deposits.
3. Use the Dates ▼ dropdown menu to adjust the date range as needed. You can filter any six months within the last 12 months.
4. If necessary, select Show Advanced Options to conduct a precise search using the transaction ID and the card's expiration date.
5. Click on Search.
6. Upon locating the deposit, you can:

• Click on the small arrow ▼ in the FEE column to view more details about the transactions included in that deposit.
• Print the details, print a summary, or export the data as a CSV file.

For more detailed instructions on locating a deposit through the Merchant Service Center, please refer to this article: Find transactions, deposits, or fees in the Merchant Service Center.

You can also check this article to learn how to view and download your processing statements in the Merchant Service Center: View and download statements in the Merchant Service Center.

With these steps, you can check who sent the direct deposit successfully. If you have any more queries about direct deposits, feel free to reach out, we'll be happy to provide more assistance to you. Best wishes!