old , old invoices, with no payments received. What happens if I delete or void, will this affect transactions from closed periods?

Thank You, what "account type" will a "BAD DEBT"  is recommended?

Never mind, I just found it in your original response.

I have several old invoices in QBO that were paid, but the invoices weren't cleared. How do I get rid of old invoices in QBO - they are not bad debts.  

It's great to see you here, @ColB1,

I can help you get this sorted out so the report shows the accurate sales data.

Paid invoices that are showing as outstanding happens when the payment is not linked properly to the transaction. To check this, open the payment and see if it is correctly applied to the sales entry.

Successful payments should display a Paid watermark on the invoice. If you see this yet still shows unpaid, follow the steps below to resolve it:

1. On the invoice, click the payment link below the Payment Status.
2. Select the payment date to open the Receive Payment window.
   
3. Refresh the payment by removing the check mark beside the Invoice Number and adding it again before saving.
4. Deleting and recreating the payment will also work. Just click More then Delete.
   
5. Press Yes to confirm the action.

Now, if you recorded the income manually as a bank deposit, this process will only affect the register but remove the Accounts Receivables balance. You must use the Receive Payment option to tie the transactions and offset the outstanding amount.

To apply the deposit entry as an invoice payment, follow the steps below:

1. Press + New then Receive Payment.
2. Add the client's name to see all open invoices and credits.
3. Update the Payment date, then select the invoice from the Outstanding Transactions section.
4. Under Credits, select the Deposit entry.
5. When you're done, hit Save and Close.

If none of this solution work, it's likely possible that there is a performance issue in the system caused by the piled data in the cache. Fix it by clearing the site history or trying a different browser.

Let me know how it goes. I want to make sure this invoice issue is resolved and I'm here if you need anything else. Have a good day!

I'm going to hop into this thread for a variation.

I have a number of invoices that are unpaid, but are not bad debts in the usual sense of the word.

Like the original poster, I picked up from where someone else had also never sent statements.

I have a couple of customers who were told (incorrectly) that they were paid in full and now that I'm doing statements, I'm getting pushback (rightly so) from customers who were told they were cleared.

In my head, I'd always equated bad debt with errors/issues on the customer end (bankruptcy, refusal to pay, collections, etc.) rather than errors on our part.

Should these invoices also just be written off to bad debt or should they be separated in some way?

The issue with bad debts of course, is that they show on the P&L as an expense and show us in the red.

Hi dLearned!

Thanks for joining this thread. Let me assist you with these invoices.

Ideally, these invoices of your customers are considered bad debts since you're unable to collect payments from them. However, you'll want to consult with your accountant to see if there's a better way to handle these transactions without affecting your P&L.

I added this link if you need help in writing off bad debt in QuickBooks Desktop: Write off bad debt in QuickBooks Desktop.

Also, here's the article if you need help in tracking customer transactions: Get started with customer transaction workflows in QuickBooks Desktop.

Comment again here if you need more assistance with this. I'll help you!

Why can No one at QB tell us how to do this? It is obviously not that abnormal. The person that was doing the AP/AR before I got here was just accepting retention payments and no applying them to the invoices, so I have tons of invoices that show "Past due" when they are in fact paid. 

There has to be a way to credit the invoice so it zeros out. 

Hello there, @akraemer. 

Thanks for posting here in the Community. While I understand the confusion, I'm happy to help. The steps provided above by my colleague are an alternative to the first steps provided earlier in the thread, what I would recommend is to reach out to our support team if you're having trouble with your income being understated as they can dive into your specific account with you in a private 1-on-1 setting to determine exactly what's going on. 

To reach them, follow these steps:

1. Sign in to your QuickBooks Online company.
2. Select Help (?) at the top right.
3. Enter your concern, then select Let's talk.
4. Select Contact Us to connect with a live support agent.
5. Choose a way to connect with us:
   • Start a chat with a support expert.
   • Get a callback from the next available expert.

Thank you for your time and I hope you have a lovely day. 

I need to know if I can void an invoice in a previously closed month without effecting the books.  We found that the invoice is incorrect and we will be creating a new invoice in the current month.  Should I void or issue a credit against the invoice?

Thanks