Supplier deposits New EA DRAFT

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

How MYOB treats supplier deposits

Because no goods or services have changed hands, MYOB treats deposits differently to other payments. A supplier deposit is typically posted to an asset account because it's not yet considered a payment to the supplier. When the purchase order is converted to a bill, the deposit is transferred from the asset account to your trade creditors account.

To be able to apply deposits to purchase orders, you'll need to activate a preference in MYOB and specify the asset account to use for those deposits. Go to the Accounting menu > Manage linked accounts > Purchases tab > I track deposits paid to suppliers. Tell me more about linked accounts.

Recording a supplier deposit

You can record a supplier deposit when you create a purchase order. Enter the deposit amount in the Amount paid ($) field.

Deleting a deposit

How you delete the deposit depends on the purchase order.

(Currently it's the same method regardless: Find transactions > open payment > Delete > confirm deletion)

If the purchase order hasn't be converted to a bill

You can simply delete the deposit as follows:

<steps to be confirmed>

If the purchase order has been converted to a bill

<steps to be confirmed>

  Supplier deposit FAQs