Question asked by Lucie Cooper 9 years ago
Hello,
just imported by bank and noticed an invoice to a supplier has been overpaid by £900
now i can allocate the full amount to the invoice it relates too but wehats the best way to account for the other £900 so its clear its an overpayment instead of creating another invoice?
thanks
Hi Lucie,
Is the intention that this will go towards a future invoice at some point, rather than being refunded? If so then the best thing to do is to allocate it to Trade Creditors, which will make it a payment on account. When the future invoice arrives, you will be able to allocate this payment against it then.
Please see the Support Guide below for additional information:
I hope this helps.
All the best.
Best answerHi Lucie - if, rather than using it against future bills, you will be receiving a refund of the £900 from the supplier then "park" the £900 in a "other debtor" account. Then when the money is received put that to the same account.
Make sure the other debtor account is available for money in & out by ticking the 2 boxes next to it on the Code list in settings (and hitting the update button at the bottom).
I have this same issue where the bank statement show that I have overpaid on a supplier invoice. But the link above is broken and I do not have anything called 'Trade Creditors' in the 'To' drop-down list, so how do I allocate this overpayment?
Hi Joe - the To box is the name of the supplier, ie who did you make the payment to? Trade creditors is the account code field, here's the guide in it's new page:
Thanks for this. As per the advice of Richard McCormack above, do I simply add the overpaid amount to Trade Creditors. For example, I paid £60 instead of the invoice value of £50. So, do I explain £50 against the invoice and then create a separate transaction for £10 and allocate that against Trade Creditors?
Hi Joe - yes that's right, when you explain the £60, allocate the £50 against the bill and then put the remaining £10 to trade creditors.
Just to remind you, this anticipates that the £10 will be used in future to offset another bill from the supplier.
So my next question is how do I allocate the trade creditor over payments against the next invoice that comes in from the supplier? For example, I have overpaid three months in a row, so this will give me 3 x £10 in trade creditors. The next time I import my bank statement I will have the next payment for £50 and an invoice that matches against it from the supplier for £50(?), so what exactly do I allocate the 3 x trade creditor entries against - an additional invoice from the supplier for £30?
Hi Joe - there's loads of help for all this stuff on CB's guides pages (via the ? top right of the screen).
All payments on account or overpayments, waiting to be allocated to customer invoices or suppler bills can be seen on the "unallocated cash" screen in the Money tab, so, once you have entered a bill from the supplier you can go there and allocate payments against it.
Alternatively, on the unpaid bills screen you can use the "Manage" drop down on the right hand side of the bill and then "Payment" OR can click on the bill and use the "Allocate payment" button, which takes you to the same place to allocate any unallocated payments.
Despite my comment about the guides, you have probably picked the most complicated and cumbersome feature of CB to ask about!
When trying to add the £10 to trade creditors, Clearbooks is coming up with the message:
Clear Books thinks Trade creditors is outside the scope of VAT. Please set the VAT rate to Exclude from VAT return. To ignore this warning resubmit this form.
Why and what should i do?
Per the guide above you set the VAT rate to exclude from VAT return, otherwise £8.33 would go to payment on account and you’d claim back £1.67 VAT
You must 