Linda Artesani shows how to apply a credit memo to only part of an invoice in QuickBooks Online. Create a credit memo, adjust the amount on the payment screen to split it across multiple invoices, and disable automatic full-credit application in Advanced Settings so the partial application sticks.
Chapters
Hi there, Linda Artesani, Artesani Bookkeeping. So I'm going to do a quick tutorial on how to apply a credit memo to several invoices, and it's a question that came on the community forum, and I'll get to that in a second. I also wanted to mention that QuickBooks Connect is coming up. I just wrote an article based on my first experience and how I'm going to do things a lot differently this second experience. I really actually flew out the first time on a Sunday, and I flew home on a Thursday, from the East Coast and I kept my time zone so I was up at 3 and by the nighttime when all the networking happened I was so tired I ended up going to bed. So totally different this time that I'm going to actually make and prepare for that and also I'm going to not attend so many sessions and I'm going to do more networking. So that part of it is exciting because I've got a Facebook community that I've created. It's a private group but you can ask to join it and I'll be doing Facebook Live from it. So I'll be interviewing people on Facebook Live, interviewing business owners that are at QuickBooks Connect, some app developers that are at QuickBooks Connect, you know, anybody who's attending. If we, if we can grab them, we're going to get them and we'll just do short videos, short interviews and find out what they think about the conference and if it's a valuable event as it's expensive to go to. So that is coming up and if you get in my private group, you will get to follow me there and watch it live and/or watch the feed afterwards. It's also a place I put a lot of the videos, so I'd also like you to see that there. Another incentive to actually join the group is I'm gonna give away 90 minutes of my time free for one-on-one work. So if you're that business owner that's sitting there saying, oh, I've got all this work, it's the end of the year, I really wanted to have my books put together right now and I don't know where to begin, if you sign up and ask to be in the private group, and I'll put the links in the blog post, You can put yourself in there. I'm going to do a raffle on the last day of the conference, and I'm going to pick one name. So just join the group, follow us on Facebook Live, and then you might win 90 minutes of free bookkeeping help. And that's got a pretty good value to it. So I'd love to work with you. So let's get to the question at hand. So let's go to the question itself. So they're running QuickBooks Enterprise. I'm going to do this on online version. Same thing applies. The screens will look a little bit different. I just, I didn't want to open up my PC. I use QuickBooks Online all the time. So they're using Enterprise, which is a desktop product, and they have a large volume customer that they give 5% of their monthly purchases if they exceed $10,000. So they give a discount basically, and they calculated a monthly discount with a credit memo, and then as the bills are paid, they're being applied, and they want to see them being applied in pieces instead of one big whole whole amount. So let's go to the customer page. So I created a customer, she's got a couple of invoices that are overdue, and I'm going to pretend she's paid this invoice now, and I want to apply this credit memo that I created. So I created the discount ahead of time, and it's 5% of these 2 invoices, a little bit different than what they actually had in their thing. So I'm going to apply this credit memo to this, but obviously 5% of $4,000 is $200. I don't want to apply the whole $300. So I'm going to come over here and receive the payment. And I'm going to imagine that— and you can see the credit memos are here— I'm going to imagine that they're only paying the $4,000 one. And here's the credit memo of $4,000. I want to make this $200 of it because I want to save the remaining $100 for this $2,000 invoice when they pay it. And that's probably how they're going to send me a check of $3,700, and it's going to be The $4,000— actually $3,800, and it's going to be the $4,000 minus the $200. So I'm applying it. I'm going to leave a balance there, and then I'm going to hit Save and New. So now that's applied, and we'll pretend that they've paid— now they're paying the $2,000 bill, and I want to apply the balance here of this credit memo. So I'm going to come in here, receive the payment, and apply the balance. So now they sent me a check for $1,900, and that's going to be applying it. So you can change the amounts. I think people get tripped up when they click the box and it applies the whole thing and they don't want to. This is a little bit of an unusual circumstance, but it's the same premise when you do it in desktop. It's just a little bit less clear because the box is kind of— you see the discount box, it's in the payment screen. You can just go in and change that amount the same way. One of the things you want to make note of, and I'm not sure if this is actually something set as default, but you probably want to check and make sure under your advanced settings That when you come to automation, you don't want to have this automatically apply credits because it's just going to keep applying the whole amount. So make sure this box is checked off, and that's under the gear wheel settings. So that's it in a nutshell. It's a pretty short video today, but I think it's a good question and it's a good way to take a look at how you do that. Here's the Facebook page, the Community Live. So I'd like you to, if you can, if you want to join us, you can come in and just ask to be in this QB Community Live group. And then what we'll do is we'll put you in and then And we will put you together. You'll get to see all the videos that we have already, which have a lot of really good tricky transactions in there. And then join our group and then be in the raffle for anybody who joins from today on through QuickBooks Connect and to the last day, which is November 7th. We're going to draw that name on November 7th and you'll receive some information about getting that free session. And it can be done— I'll do 90 minutes, so it can be done in 3 30-minute sections. Usually that's— Better than doing the $90, but if you want to do the $90, it's up to you. See, you're the customer. Well, thank you so much. I hope this was helpful. I hope that you sign up to be in the group, and I am excited for QuickBooks Connect this year. I'm really looking forward to it and doing the planning for it and making it a fun event. And if— even if you don't win, at least you can follow us and be part of it, and then maybe you come next year. Thank you. Bye now.
