Payments received

A payment received (receipt) records money a customer paid you, against one or more of their invoices and their opening balance. It reduces what the customer owes and adds the money to a cash or bank account.

Go to Sales › Payments Received and click Add.

Recording a receipt

1. Choose the Customer. Their unpaid approved invoices are listed with Invoice Amount and Amount Due. If they have an open opening balance, an Opening Balance row is listed too.
2. Fill in:
   • Payment Date
   • Payment Type (cash, cheque, transfer...). The Payment Type must match the account: Cash needs a cash account (Cash or an account under it), Bank a bank account (your main bank account or a branch under it); otherwise saving is refused ("The Cash payment type needs a cash account." / "The Bank payment type needs a bank account."). Other payment types your administrator adds are not checked. Choosing Bank selects the main bank account of Ledger Configuration and Cash the main cash account; you can still pick a branch or another account in the list.
   • Deposit To: the cash or bank account the money went into
   • Currency: any currency. For an invoice in another currency, a rate box appears on its line with today's rate of the invoice's currency (you can change it), and Off the invoice shows what the amount you type takes off the invoice in its own currency. Example, base IQD: 314 USD at 1,500 is 471,000 IQD, which pays a 470,000 IQD invoice in full; the 1,000 IQD difference is an exchange gain. A converted amount a little above the balance due (less than one unit of the receipt's currency) pays the invoice in full; more is refused ("This amount is more than the invoice's balance due."). The opening balance part is received in its own currency.
   • Reference Number and Notes, if useful
3. Enter the Amount Received against each invoice (and the opening balance). You don't have to pay every invoice in full.
4. If the money went into a bank account, fill in the Bank Details (method, cheque number and date, bank reference, their bank). See Bank details on payments.
5. Save as Draft to keep it without changing anything (nothing is posted, the invoices keep their balance and the customer's balance does not change), or Save and Post to post it now. Posting needs the approve permission; a draft is posted later with Post on its page. See Draft and approved documents.

Each invoice's balance due goes down by what you entered, and its status becomes Partially Paid or Paid.

Exchange rate and exchange gain or loss

A receipt in a foreign currency uses today's rate: the latest rate in Currencies is filled in, and you can change it in the rate box (for example to the invoice's rate). The original rate of the invoices you are paying is shown under the rate box (Invoice rate; several rates are separated by /). When it differs from the rate of the invoices (or of the opening balance) it pays, the difference in base-currency value is an exchange gain or loss. The totals box shows it before you save: Exchange Gain when the money received is worth more in base currency than the customer owed, Exchange Loss when it is worth less.

Example, base currency IQD: an invoice of 100 USD at 1,300 put 130,000 IQD on the customer. The customer pays 100 USD when the rate is 1,310, worth 131,000 IQD. The invoice is fully paid and the 1,000 IQD difference is an exchange gain.

The invoice itself always clears at its own rate, so a fully paid invoice has nothing left in base currency either. Even at the invoice's own rate, a difference of a few fils can appear from rounding (base amounts are rounded to 2 decimals); it is shown and posted like any other difference.

Rules

• Enter an amount for at least one invoice or the opening balance.
• You can't receive more than an invoice's balance due ("Invoice ... has only 150.00 left to receive.") or the open opening balance.
• All invoices must belong to the chosen customer, and the customer of a saved receipt can't change.

Quick payment from an invoice

For a single invoice, Record Payment on the invoice page does the same thing. The money is already taken, so it is posted at once and needs the approve permission for payments received. See Sales invoices.

Editing and deleting

A draft receipt can be edited freely (it changed nothing yet). Editing a posted receipt posts it again, so it needs the approve permission too. Editing a receipt moves the invoice balances by the difference; setting a line to 0 gives that invoice its amount back. Deleting a receipt reopens the invoices it paid.

A receipt brought money in, so an edit that brings in less (or moves it to another account) and a delete take it back out. When that would make a cash account negative, it is refused while Negative Cash is off in Preferences, and you are asked to confirm while it is on ("This change creates a negative cash balance. Continue?").

A receipt that is part of a completed bank reconciliation can't be changed until the reconciliation is undone.

Viewing a payment

On the receipt's page (and its print and email) each invoice line shows what came off the invoice in the invoice's own currency. When the invoice is in another currency than the receipt, the amount received for it in the receipt's currency is shown under it, for example 470,000.00 IQD with Paid: 314.00 USD under it. The payments list on an invoice's page works the same way.

What it posts

Dr the cash or bank account (at the receipt's rate), Cr accounts receivable (at the invoices' and the opening balance's own rates). Any difference goes, in base currency, to the Exchange Gain or Loss account set in Ledger Configuration: a credit for a gain, a debit for a loss. Editing the receipt posts it again; deleting it removes it.