Reversing or voiding payments within Design Manager can vary depending on the type of payment and where it was applied. Below are detailed instructions for undoing payments applied to Proposals or Invoices. These steps are essential if you need to correct transactions and adjust account balances correctly.
When reversing transactions, it is important to consider the broader impacts, such as how voiding a transaction might restore funds to a client's retainer balance or affect project allocations. Additionally, ensuring no invoiced funds are tied to the transaction being voided prevents potential discrepancies.
Before proceeding with the steps below, review the linked Proposal or Project and ensure that no funds connected to the payment were applied to an Invoice. Proceed only after these validations to avoid discrepancies.
To remove or void a payment that has been applied to a Proposal or Invoice, follow these steps:
Go to Accounting and select Cash Receipts. In the Cash Receipts window, click on the Existing tab and locate the payment you want to remove or void. Click on the underlined Ref No. associated with the cash receipt
Tag the TX REF NO. under Payment Distribution and click on Void
Once voided, the payment will be removed from the proposal or invoice and can be re-entered or managed as necessary.
This process ensures the payment is correctly undone, freeing you to reassign or correct it as needed. Please note that voiding deposits on a Proposal in which one or more items has been invoiced is not suggested. In this instance, use the Client Returns and Credits to refund the applicable deposits to the Client. Voiding payments where deposits have already been applied to Invoices may create accounting discrepancies, as it affects the funds' allocation and financial records. Always validate that deposits tied to invoiced items are handled appropriately to maintain financial consistency.