Customer receipts

When your customer pays their invoices you can record this from the Customer Receipt option. This option is particularly useful if your customer sends you one payment for multiple invoices.

You can also use the Customer Receipt option to create payments on account and to allocate payments on account or stand-alone credit notes to one or more invoices at the same time as recording a receipt. If you want to allocate credits and payments on account without recording a receipt, you can do this using the Account Allocation option.

To record a customer receipt

  • 1. Go to Banking, click the required bank account.
  • 2. Click New Entry then Sale / Receipt.
  • 3. On the Customer Receipt tab, complete the following information:
Customer Enter either the company name or reference. As you start to type the list of customers appears, choose the customer who has made the payment.

Tip: When you choose the customer, the outstanding items appear. If required, you can change the filter from the Display drop-down list.

If it’s a new customer click Add a customer from the drop-down list. Complete the relevant details and Save.
Paid into Bank Account * Check the correct bank account appears. If you need to change this, choose the correct account from the drop-down list.
Method * Click the required payment method.
Date Received * Enter the date the payment was received.
Reference (optional) If required, enter a reference for this receipt.
Amount Received * Enter the total amount the customer has paid.

Tip: If you don’t enter a value here, the receipt amount is calculated from the items you select from the list.
Due The total outstanding balance is displayed here.
Balance The current bank balance for the selected bank account is displayed here.
  • These details are compulsory.
  • 4. Select the check box for the invoices the customer has paid.

If you entered a value in Amount Received, as you select the relevant invoices the Left to allocate value reduces. If there’s an amount left over, perhaps because the customer has overpaid, a payment on account is created for the remaining amount.

If the value in Amount Received is less than the selected invoices, full payment is made against as many invoices as possible in date order, starting with the oldest. The remainder is treated as part-payment on the remaining invoice, leaving an amount outstanding.

If you want to record all of the invoices as being paid, select the check box at the top left-hand corner. If you want to allocate a payment on account or credit note, select the payment or credit then select the invoice you want to allocate it to.

  • 5. If you want to enter a discount or only pay part of the invoice, click the Discount or Paid column for the relevant item, then:
  • To part pay an invoice, enter the value of the payment in Amount to pay then click Save.
  • To enter a discount, enter the value in Discount then click Save.

The amount paid plus the discount can’t exceed the outstanding amount.

  • 6. Click Save or, to add another receipt, go to the Save drop-down list, click Add Another then repeat from step 2.

If you have an amount left to allocate, you’re prompted to save this as a payment on account. To do this, click Yes. Alternatively, to return to the Customer Receipt option and allocate this amount to another invoice, click No.

If you use the Cash Basis VAT Scheme, you’re prompted to choose the VAT rate, this is because VAT is calculated at the point of payment. Choose the correct VAT rate and click Yes.

You’ve successfully recorded the customer receipt and the invoice now shows as either paid or part-paid.

Related articles

Account allocations
Payments on account

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