Page tree

You are viewing an old version of this page. View the current version.

Compare with Current View Page History

« Previous Version 18 Next »


 

 

Close

How satisfied are you with our online help?*

Just these help pages, not phone support or the product itself

0
1
2
3
4
5
Very dissatisfied
Very satisfied

Why did you give this rating?

Anything else you want to tell us about the help?

A deposit is a payment for goods or services not yet delivered. This means if you receive a payment against a sales order or make a payment against a purchase order, it's considered a deposit.

How AccountRight treats deposits

Because no goods or services have changed hands, AccountRight treats deposits differently to other payments.

  • Deposits on sales are typically posted to a liability account. When the sales order is converted to an invoice, the deposit is transferred to your trade debtors account.
  • Deposits on purchases are typically posted to an asset account. When the purchase order is converted to a bill, the deposit is transferred to your trade creditors account.

To check the accounts used for tracking your deposits, go to Setup > Linked Accounts > Sales Accounts or Purchase Accounts.

Recording deposits

Here's how to apply a deposit to a sales or purchase order: 

If the deposit is paiddo this
when the order is createdenter the deposit amount in the Paid Today field on the order.
after the order is createduse Receive Payments (for sales orders) or Pay Bills (for purchase orders).

Reversing deposits

The first step in reversing a deposit is to change the order to an invoice or bill. You'll then be able to reverse the deposit as described below.

These tasks are for reversing a customer deposit, but the same principle applies for reversing supplier deposits.

 

1. Set the security preference

To successfully reverse the deposit, you'll need to set a preference in your software.

  1. Go to the Setup menu and choose Preferences.
  2. Click the Security tab.
  3. Select the option Transactions CAN'T be Changed; They Must be Reversed.
  4. Click OK.
2. Reverse the invoice
  1. Open the invoice you want to reverse. See Finding a transaction for instructions.
  2. Go to the Edit menu and choose Reverse Sale. A new transaction containing corresponding negative amounts to that of the original transaction appears.
  3. If you want, alter the date and memo.

    If you're running on an accrual basis, ensure the date is set in the correct reporting period.

  4. Click Record Reversal. A credit will be created for the value of the reversed invoice.

 

Is the deposit non-refundable?

If the deposit isn't being refunded to the customer, create an invoice for the deposit amount to account for the receipt of this income.

3. Find and reverse finance charges

If a finance charge has been applied to your order it will need to be reversed to ensure everything balances. Sometimes a finance charge can be applied by mistake, so it's best to check if this has occurred in your case.

  1. Open the payment received against the order. See Finding a transaction for instructions.
  2. If the payment lists multiple invoices, open each invoice and look for a Memo containing "Finance Charge".
    Here's an example:

    If no finance charge is listed, proceed to Task 4 below.
  3. Click the zoom arrow to open the finance charge transaction.
  4. Go to the Edit menu and choose Reverse Sale. A new transaction containing a corresponding negative amount for the finance charge appears.

    If you're running on an accrual basis, ensure the date is set in the correct reporting period.

  5. Click Record Reversal. A credit note will be created for the value of the finance charge.
4. Settle all credits

 

  1. Go to the Sales command centre and click Sales Register.
  2. Click the Returns and Credits tab.

  3. Settle the credit(s) based on your scenario.

    Ifdo this
    finance charges were applied
    1. Click to select the credit note for the reversed finance charges.
    2. Click Pay Refund.
    3. Select the Account where the finance changes will be refunded to.
    4. Click Record. This will refund the finance charge component of the transaction back into your chosen account. 
    the deposit is non-refundable
    1. Click to select the credit note for the reversed invoice.
    2. Click Apply to Sale.
    3. Click to select the invoice you created for the deposit amount.
    4. In the Amount Applied column, enter the value of the deposit.
    5. In the Credit Amount field, enter the value of the deposit.
    6. Click Record. This will close the deposit invoice and make it part of your business income.
    the order was fully paid
    1. Click to select the credit note for the reversed invoice.
    2. Click Pay Refund.
    3. Select the Account where the funds will be refunded to.
    4. Click Record. This closes the transaction by taking the money from the account to which is was deposited and puts it back into your bank account. 
    the order was partially paid
    1. Click to select the credit note for the reversed invoice.
    2. Click Apply to Sale.
    3. Change the Credit Amount field to be the amount left owing on the invoice (the original order value minus the deposit value).
    4. Click the Amount Applied column for the original invoice. This will change the value to match the Credit Amount field.
    5. Click Record. This will leave a credit amount equal to the value of the deposit.
    6. Click to select the credit note again.
    7. Click Pay Refund.
    8. Select the account from which you want to pay the refund.
    9. Click Record.