QuickBooks - Record Customer Payments Properly

Improperly recorded customer payments andRecord Customer's Payment When Using Sales
bank deposits are common problems among newReceipts
users of QuickBooks. In order for bankThe directions that follow assume that no sales
reconciliations go smoothly, however, it isinformation has been entered for this customer,
important that these items are recordedthis sale, or this payment:
correctly. To do this, transactions in the- Open QuickBooks. From the Customer's menu,
QuickBooks check register need to match howselect Sales Receipts.
they appear on the bank statement.- The Sales Receipts window opens. Enter sales
When going to the bank and depositing severaland payment information.
customer payments using one paper deposit slip,- If using QuickBooks for years 2005 or 2006:
the bank statement will show the payments asmake sure the Undeposited Funds preference is
one lump sum. In QuickBooks, the checkingturned on. From the Edit menu, select
account register should show the one lump sumPreferences, then Sales & Customers, then
as well, even though the payments may be fromthe Company Preferences tab, then check the
different customers and received at differentbox that says, 'Use Undeposited Funds as a
times.default deposit to account'.
Record Customer's Payment When Using Invoices- If using QuickBooks for years 2004 or prior: in
The directions that follow assume that the Invoicethe lower left corner of the Sales Receipts
feature was first used for the customer, thiswindow, make sure the 'Group with other
payment:undeposited funds' circle is selected.
- Open QuickBooks. From the Customers menu,- Click Save & New or Save & Close,
select Receive Payments. The Customeras appropriate.
Payment window opens.Record Bank Deposit of Customer Payments
- In the Received From box, select theFollow the steps below before going to the bank.
appropriate customer. Fill in the rest of theThe paper deposit slip must be calculated
information on this screen. Don't forget to includecorrectly, or adjustments will appear on the bank
the check number, if paying by check, and thestatement, making the reconciliation more difficult.
payment type.Following these steps will also ensure that bank
- If QuickBooks does not automatically select thedeposits recorded in QuickBooks will always
appropriate invoice, select it yourself. Apply anymatch how they appear on the bank statement.
credits if necessary.- Open QuickBooks. From the Banking menu,
- If using QuickBooks for years 2005 or 2006:select Make Deposits.
make sure the Undeposited Funds preference is- The Payments to Deposit window will open.
turned on. From the Edit menu, select- Select the payments you will deposit. Click Ok.
Preferences, then Sales & Customers, then- In the Make Deposits window, verify the
the Company Preferences tab, then check theDeposit To account and the date.
box that says, 'Use Undeposited Funds as a- Use the information on this screen to prepare
default deposit to account'.your paper deposit slip.
- If using QuickBooks for years 2004 or prior: in- Click Save & New, or Save & Close,
the lower left corner of the Customer Paymentsas appropriate.
window, make sure the 'Group with otherYour bank records will now agree with your
undeposited funds' circle is selected.QuickBooks records, making reconciliations faster
- Click Save & New or Save & Close,and easier.
as appropriate.