Partial payments of invoice -- how split between services and expenses?

Forum|Forum|4 years ago
January 4, 2022
1 reply
1 view

QBO Plus.

I have a single-member law firm. My invoices bill for legal services and for client expenses. I've noticed that when I "receive payment" on an invoice for less than the entire amount of the invoice, it seems that part of the payment goes to Income and part of the payment goes to pay a portion of the client expense.

How does QBO decide how much of the expense is "paid"?

Thanks.

QuickBooks Online

ReymondO

Moderator

Hi there, @KJIsaacson.

Let me answer your queries in QuickBooks Online (QBO).

Once you record partial payments, QuickBooks will apply the partial payment on the first and to the next line item until it's fully paid. This is how the program works and the order is unchangeable.

For more details, you can check out this article: Record invoice payments in QBO.

If you need to see the remaining balance of your customer, you can run the Customer Balance Summary report. Here's how:

Go to the Reports menu.
Find and open the Customer Balance Summary report.
Select Run report.
Review the customer's open balance in the Total column.

You may also consider reviewing this article about personalizing your sales forms: Customize invoices, estimates, and sales receipts in QuickBooks Online.

You are always welcome to tag my name in the comment section if you need further assistance or other questions. May this year be filled with success and wealth, and may your business grow bigger and stronger.

ReymondO

Moderator

Hi @KJIsaacson.

Hope you’re doing great. I wanted to see how everything is going about the payment concern you had the other day. Was it resolved?

Do you need any additional help or clarification? If you do, just let me know. I’d be happy to help you at anytime.

Looking forward to your reply. Have a pleasant day ahead!

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