Payments

Hey there, @louislanejr.

Thanks for taking the time to reach out to the QuickBooks Community. I hope your day is going great so far. 

In the past, we have seen users in similar situations do the following to match the deposit: 

• Record the payment of $4,000. 
• Record the $1,000 payment towards the bill.
• Record the bank deposit of the remaining $3,000. 

Here are some steps to help walk you through each process below.

Record the payment of $4,000:

1. Click on the +New button. 
2. Choose the customer and the relevant invoice. 
3. Enter the full $4,000 payment amount. (Please note: In the Deposit to field, select the Undeposited Funds account. This will act as a temporary holding account for payments not yet deposited into your bank.)
4. Save the payment. 

Record the $1,000 payment towards the bill: 

1. Go to + New then tap on Pay Bills.
2. Choose the vendor and select the appropriate open bill:
   • Payment amount: 1,000
   • Payment account: Create or select a Cash on Hand account (if you don’t have one, create a bank-type account named “Cash on Hand”)
   • Payment method: Cash
3. Hit Save and Close.

Create the bank deposit: 

1. Go to + New > Bank Deposit.
2. Choose your business bank account where the $3,000 was deposited.
3. In the "Select the payments included in this deposit" section:
4. Check the box for the $4,000 customer payment.
5. In the "Add funds to this deposit" section (bottom of screen):
   • Received From: Select the vendor or use “Cash Used” if you prefer
   • Account: Use the same account as the bill payment (e.g., "Cash on Hand")
   • Payment method: Cash
   • Amount: -1,000
   • Total Deposit = $3,000
6. Click on Save and Close.

Now you can match the deposit. Here's how: 

1. Go to Banking (or Transactions > Bank Transactions).
2. Find the $3,000 deposit.
3. QBO should now show a match to the deposit you just entered.
4. Click Match.

Please know it is always best to consult with your accounting professional before making any changes to your account. Your accountant can review this process to ensure it's the correct workflow based on your business needs. If you don't have an accountant, don't sweat it. You can find one here in our Resource Center. 

That should do the trick. Don't hesitate to let me know if you have any additional questions or concerns. Have a good one!