How to transfer the customer extra payment to other income?

I know a way to move your customer's overpayment to another income account in QuickBooks Online (QBO), tass.

First off, let's clear this extra payment or credit from your customer's balance by creating a journal entry (JE). In this process, credit will be moved to another income account. Here's how:

1. Click the + New icon and select Journal Entry under the Other column.
2. From the transaction page, select the income account where you want to move the credit.
3. Enter the amount under the Credit column.
4. In the next line item, select the Account Receivable (A/R) and enter the same amount under the Debit column.
5. Select the closing customer under the Name column along with the A/R account.
6. After that, click Save and Close.

After that, let's use the Receive Payment feature to zero out the credit under the customer. Please follow the steps below:

1. Go to the + New icon and select Receive Payment.
2. Select the customer from the dropdown and mark check the Journal Entry we recently created.
3. Scroll down to the bottom and select the Unapplied Payment under the Credits section.
4. Then, click Save and close.

Once done, you can run a report of your income account to verify the transfer of the credit. You can also customise this to display data according to your business needs.

Tag me if you have additional queries about managing customer transactions. I'm always around to lend a hand for help. Take care!

Sorry, I not quite understand. Can you show me in the video?

I can definitely provide a visual reference about the steps provided by my colleague, tass.

First off, you'll need to create a journal entry to clear the extra payment and move it to another income account since the customer will be closed forever. Here's a reference below:

Once done, here's another video to follow the Receive payment process to zero out the credit under the customer.

Moreover, please know that you can always reach out to our QuickBooks Support Team if you need real-time guidance in performing the process. They have the necessary tools to look into your account via screen-sharing sessions with you.

Additionally, you can refer to these articles in generating a report to check the credit you move to the income account:
 

• Run reports in QuickBooks Online
• Customise reports in QuickBooks Online
   

Feel free to post again in this thread if you need more help in managing overpayments and other QuickBooks-related queries. The Community is always here to help you.