How you enter the credit depends on how you record your purchases. Choose the section below that applies to you. If you’re not sure, ask your accountant. Or, we can help you find an accountant.
If you enter bills to pay later
Use these steps if you enter bills to track your expenses. This makes sure the credit hits the expense account you use for this vendor.
Create a vendor credit
- Go to the Create ⨁ icon and select Vendor Credit.
- In the Vendor drop-down menu, select your vendor.
- Depending on how you record purchases with this vendor, enter the Category details or Item details. Usually, this is the category, product, or service you’re getting a credit for.
- Select Save and close.
Apply vendor credits to a bill
You can apply a vendor credit toward any open or future bill. When you’re ready to use the credit, here’s how to do it.
- Go to the Create ⨁ icon and select Pay Bills.
- Select a bill for your vendor from the list. You'll see the available credit with this vendor in the Credit Applied field.
- Complete the rest of the fields like you normally do.
If you enter expenses or write checks
To track credits for your vendors, you should consider entering bills in QuickBooks. This way you can track your account balance and credits using Accounts Payable. Otherwise, you can enter a note to remind yourself about this credit in the future.
