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MYOB – Customer Overpaid Me – How Do I Enter This?
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Published on Tuesday, 23 April 2013 13:57
We’ll illustrate by using an example:
Customer invoice you billed was $1000
Customer pays $1500 to your bank
1. First Create another Invoice for $500 to the client (Optional – you can post to a new sales account or clearing account eg 4.9000 “Over-Payments”, with GST as applicable, then it will stand out if it is not dealt with until later);
2. Then Apply Customer Payment to BOTH Invoices;
3. Then Create a CREDIT Invoice (because the customer has credit with you for over-paid amount) allocate to the clearing or 4-9000 Over-Paid account (if used), enter as a NEGATIVE amount, include some notes in the description (and in Journal Memo if desired) referring to the original invoice number and date, and the over-payment date. It is good to send an activity statement to show each transaction clearly, and the balance net due for the client;
4. The credit invoice will sit in Accounts Payable/ Debtors as negative, waiting to be dealt with – There are two ways to finalise…
a) Customer wants a refund of the $500 – go to Sales register > Returns & Credits > select/highlight the credit sale > in lower LHS click > Pay Refund > Add notes to the memo to trace back to original invoice and payment > Record; or
b) Customer wants to wait until they order more to “use the credit”, enter the next sales, and when there is more than the credit sale > Sales Register > Returns & Credits > in lower LHS click on Apply to Sale > watch the memo and abbreviate with easy reference info > Record. If there is still money due, that will reflect the same as the customer statement amount, and when customer pays, is easily applied.
