Searching for account receivable and account payable? Not to go anywhere QuickBooks Support will provide you complete guidelines to make you away from such errors. It is quite often that when we have short balance or less balance, than that is known as bad debt which will be more time consuming to gather the remaining amount to get it clear from your accounts. There are two ways to write off customer and vendor balances. Those are as follows:
Method 1: To create Journal entry to write off the balance
Account Receivable
- To generate an accurate journal entry
- In Company menu, choose Make General journal entries
- In Make General Journal Entries Pane, modify the date and fill out the entry number if required
For a customer with an over payment
- Choose the Account field and choose Account Receivable
- Type the amount under the Debit tab, scroll to the Name column
- Type the customer name
- Choose the offset account
- Type the amount in Credit column
For a customer with an underpayment
- Choose the Account field and choose Account Receivable
- Type the amount under the Credit column, scroll to the Name column
- Type the customer name
- Choose the offset account
- Type the amount in Debit column
- Click on Save and Close
- Apply the General Journal Entry to Existing Credit/Debit
- In the Customers menu, choose Receive Payments
- Type the name of the customer in Received Form field
- Choose the Invoice and select Discounts Credits/debits
- In Credit tab, Click on the available credit
- Choose Done
- Click on Save and close
Account Payable
- To generate an accurate journal entry
- In Company menu, choose Make General journal entries
- In Make General Journal Entries Pane, modify the date and fill out the entry number if required
For a vendor with an over payment
- Choose the Account field and choose Account Payable
- Type the amount under the Credit tab, scroll to the Name column
- Type the customer name
- Choose the offset account
- Type the amount in Debit column
For a vendor with an underpayment
- Choose the Account field and choose Account Payable
- Type the amount under the debit column, scroll to the Name column
- Type the customer name
- Choose the offset account
- Type the amount in Credit column
- Click on Save and Close
- Apply the General Journal Entry to Existing Credit/Debit
- In the Vendors menu, choose Pay Bills
- Choose on to the bill
- Select Set Credits
- Choose Done
- Click on Save and close
If you are over with above steps; you can contact our QuickBooks Support Number
Method 2: To write off small amounts to use discounts
- To generate an account and item; when writing off small amounts to use
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- Generate a Charge off Account.
- In the Lists menu, select Chart of Accounts.
- Click on to the Account button and select New.
- Choose Income, and then click on Continue.
- Type Minor Account Receivable and Account Payable Charge-Off in the Account Name field and
- Click on Save & Close to Save and close to save the file and exit from application
- Generate a Charge-off item.
- In the Lists menu, select Item Lists.
- Click on to the Item button and select New.
- Select Other Charge as Item Type and click on Continue.
- Type Minor Charge-Off in the Item Name/Number field.
- Choose Non-Taxable Sales in the Tax Code field.
- Choose Minor Account receivable and Account Payable Charge-Off in the Account field.
- Click on OK to save and create the item
- Generate a Charge off Account.
- Choose the small amount you want to clear.
Customer Underpayment
- In the Customers menu, choose Receive Payments.
- Choose the name of the customer in the Receive From
- Choose the invoice you want to write off the amount.
- Choose Discounts & Credits.
- Click on the Discount tab:
- Type the amount in the Amount of Discount
- Choose Minor Account Receivable and Account Payable Charge-Offin the Discount Account
- Click on Done to close the Discount and Credits
- Click on Save & Close to Save and close to save the file and exit from application
Customer Over payment
- In the Customers menu, click on Create Invoices.
- Choose the customer name in the Customer:Job field.
- Choose Minor Charge-Off in the Item field and enter the amount of over payment.
- Choose Apply Credits.
- Choose the credit in the Available Credit section
- Click on done to close the Apply Credits window.
- Choose Save & Close.
Vendor Under payment
- In the Vendors menu, click on Pay Bills.
- Select the bill you need to write off that has the balance
- Choose Set Discount
- Click on the Discount option
- Type the amount in the Amount of Discount field.
- Choose Minor Account Receivable and Account Payable Charge-Off in the Discount Account field.
- Choose Done to close the Discount & Credits
- Click on Pay Selected Bills to close the Pay Bills window.
- Choose Done in the Payment Summary window.
Vendor Over payment
Enter a Bill that will offset the credit.
- In the Vendors menu, click on Enter Bills.
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- Choose the vendor in the Vendor field.
- In the Items option, choose Minor Charge-Off in the Item field.
- Click on Save & Close.
- Apply the available credit to the bill that you created.
- In the Vendors menu, choose Pay Bills.
- Click on to the bill that you entered to offset the credit.
- Choose Set Credits.
- Select the Credits tab and select the credit.
- Click on to Done to close the Discount & Credits.
- Choose Pay Selected Bills to close the Pay Bills.
- Click on done in the Payment Summary window.
We expect that this post has tried to fix all your issues regarding write off to customer and vendor balances. Our technical team will positively find out more such bugs when you come across. For further support feel free to contact our QuickBooks Support Number USA @ 1-800-657-0602 as our team of expert leaders is available 24*7 or you can also directly drop us a mail at support@quickbooksupport.net.