I have a parent customer with two sub-customers. Parent made payment (ACH). How do I credit this to the two accounts?

Hi there, @ombill. I'm here, and I'll ensure you can get through this and proceed to credit the payment made by your parent customers to your two sub-customers accounts in QuickBooks Online (QBO).

In QuickBooks, you can create delayed charges for your sub-customers and then make an invoice for the parent customer to add those charges. This way, the parent customer will be the one who'll pay those delayed charges. The transactions will then be posted on your two sub customers' account in QBO. I'll gladly input the steps below so you can proceed. To begin, here's how:

1. Access your QuickBooks Online company.
2. On the left navigational bar, click the + New button.
3. Select Delayed charge.
4. Enter the charges you want for the sub-customer.
5. Select Save and close.
6. Repeat the Create a delayed charge steps 1-4 for the other sub-customer.

See this article for more information about this: Use the bill with parent option on invoices in QuickBooks Online.

Once done, proceed to create an invoice for your Parent customer, and then on the right corner of your invoice screen, click Add in each of the delayed charges you've made for your two sub-customers. After that, hit the Save button below to save your invoice and proceed to receive the payment. You can visit this article to learn more about receiving invoice payments in QBO: Record invoice payments in QuickBooks Online.

Additionally, here's an article in case you'd like to edit a customer in your QBO account: Manage customers in QBO

You may also check this page to learn more about customizing a report to show specific data for your business here in QuickBooks: Customize reports in QuickBooks Online.

Should you need further assistance managing payments in QuickBooks? Or do you have any additional QuickBooks-related concerns? Know that you can always get back to me anytime, and I'll be more than happy to help you out again. Take care, and have a nice day!

Sorry No. This won't work.

The sub customer were invoiced.

The parent then paid the invoices combined.

Now I need to credit the individual invoices.

Thanks for the prompt response, @ombill.

I appreciate you adding clarification to your concern. This helps me to share the best fix in crediting the payment to your sub-customers in QuickBooks Online (QBO).

Currently, there's no integrated way to link the ACH payment from your parent customer to its sub-customers unless you will change the customer's name and link them. However, you can create a Journal entry to achieve this matter.

To start, let's create a clearing account or wash account. This is used to move money from one account to another without moving it directly. Follow these steps to proceed: 

1. Go to the Accounting menu, then select the Chart of Accounts tab.
2. Click the New button.
   
3. Choose Bank accounts for the account type in the Save account under ▼ dropdown.
4. You may choose any detail type you want for your clearing account in the Tax form section ▼ dropdown.
5. Type in the Name for the clearing account.
6. Make sure you do not type in any amount on the balance before clicking the Save button.
   

Once done, you can record a deposit of the ACH payment and post it to the Clearing account you've just created.

Finally, create a Journal Entry to credit the payment to your sub-customers. However, I highly recommend seeking assistance from your accountant to ensure that your books are accurate and to avoid messing up the data. They'll be able to guide you on choosing the right accounts and provide more expert ways of dealing with this situation. If you're not affiliated with one, you can use our Find an Accountant tool to look for a Pro-Advisor near your area.

I’m also adding this resource where you can access our self-help articles: QuickBooks Online guide. These resources contain topics that will guide you on how to efficiently handle your taxes, payroll, account information, banking tasks, sales or expenses-related activities, and so on.

Please know that you can always get back to this thread if you have other questions or concerns about managing payment transactions in QBO. I'll be around to provide the information you need. Keep safe!

Honestly,

This is stupid. Why even have parent customers then.

It is common practice for the parent to pay the kids bills.

For anyone with the same issue here is an answer....

- Create invoices as needed for each child.

- When payment comes in from parent, edit the existing invoice and change the name to the parent. And place a note showing who the invoice actually went to (for future reference)

- Receive payment as normal.