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Record a Payment

Learn how to record various payments like retainers and deposits from your client

Bobbie Combs avatar
Written by Bobbie Combs
Updated over 10 months ago

When monies are received, you'll enter that under Cash Receipts. This guide will review how to enter and process a Retainer payment, enter a deposit for a Proposal and enter a payment on a Client invoice.

Enter a Retainer payment from a Client

1. On the left side menu, under Accounts Receivable, click on Cash Receipts.

Where to find cash receipts to record a payment

2. Click on the +Add button in the upper right hand side.

Where to add a cash receipt

3. In the Add Cash Receipt window, select the Project the Retainer is for. Then add in the Retainer amount in the Amount field and select the Retainer date, Retainer payment type and check no. if applicable.

Add in the information fields to add a cash receipt

4. Under Client Deposit / Retainer (Proposals), edit the Retainer payment line by clicking on the $0 under This Payment.

How to edit the retainer payment line on a cash receipt

5. Then enter the amount for the Retainer and a transaction description for example, Retainer payment. When finished, click on OK.

Where to edit cash receipt payment for a retainer

6. Select the Retainer payment you just added by checking in the box on the left and check the Total fields at the bottom. The Difference field should show as 0.00. If not, go back and check the numbers/payment that you entered for any discrepancies. When finished click on Save.

Make sure the difference field is 0.00 before saving your cash receipt

7. You'll see the Retainer payment listed under New in the Cash Receipts window. The payment has not been recorded yet and needs to be posted to be recorded. Review the payment for accuracy and if needed make changes by clicking on the Client Code. When ready to post, check in the box to the left of the Retainer payment and then click on Actions in top right and select Post. On the new window, select the fiscal month to post the payment to and click on Ok.

How to post a newly created cash receipt

8. The Retainer payment is now listed under the Existing tab for Cash Receipts.

9. The next step in entering a Retainer payment is applying the Retainer payment to a Proposal or an Invoice. This may not happen right away when a Retainer payment is added. To apply the Retainer go to Cash Receipts and click on +Add. Select the Project you are applying the Retainer. Leave the amount field blank as we are not entering a payment but moving the Retainer payment already entered to a Proposal or Invoice. Select today's date and select the Payment Type as Check (even if this was not the payment type on the actual Retainer payment). In the the Check No. field, enter apply Retainer. Edit the Retainer payment listed under Client Deposit / Retainer (Proposals) by clicking on the amount shown under This Payment.

Where to edit a retainer payment on a cash receipt

In the new window, enter a negative amount for the Retainer payment. For example, if your original Retainer payment was $2000 you would enter here -2000. In the Trans. Desc. field enter move Retainer to _____ (either Invoice # or Proposal #). Then click on OK.

How to apply the retainer to a proposal or invoice

Now edit the payment under This Payment in the same line as the Proposal or Invoice and enter the same amount as your Retainer payment. For example, if your original Retainer payment was $2000 you would enter here $2000. In the Trans. Desc. field enter from Retainer. Then click on OK.

Next, select the Retainer payment and the Proposal or Invoice that you want to apply the Retainer to by checking in the boxes to the left of both payments. The Total and Difference fields should show as 0.00.

How to make sure the retainer payment is even

If not, go back and check the numbers/payment that you entered for any discrepancies. When finished click on Save. You'll see the Retainer payment listed under New in the Cash Receipts window. The applied Retainer has not been recorded yet and needs to be posted to be recorded. Review the payment for accuracy and if needed make changes by clicking on the Client Code. When ready to post, check in the box to the left of the Retainer payment and then click on Actions in top right and select Post. On the new window, select the fiscal month to post the payment to and click on Ok.

Enter a deposit on a proposal from a Client

1. On the left side menu, under Accounts Receivable, click on Cash Receipts.

How to get to cash receipts to enter a deposit on a proposal from a client

2. Click on the +Add button in the upper right hand side.

Where to enter a deposit on a proposal from a client

3. In the Add Cash Receipt window, select the Project the deposit is for. Then add in the deposit amount in the Amount field and select the deposit date, deposit payment type and check no. if applicable.

What fields to fill out when entering a deposit on a proposal from a client

4. Select the deposit payment listed under Client Deposit / Retainer (Proposals) by checking in the box on the left and check the Total fields at the bottom. The Difference field should show as 0.00. If not, go back and check the numbers/payment that you entered for any discrepancies. When finished click on Save.

Make sure the Difference field shows 0.00 when entering a deposit on a proposal from a client

5. You'll see the deposit payment listed under New in the Cash Receipts window. The payment has not been recorded yet and needs to be posted to be recorded. Review the payment for accuracy and if needed make changes by clicking on the Client Code. When ready to post, check in the box to the left of the deposit payment and then click on Actions in top right and select Post. On the new window, select the fiscal month to post the payment to and click on Ok.

How to post a newly created deposit on a proposal from a client

6. The deposit payment is now listed under the Existing tab for Cash Receipts.

Enter a payment on a Client Invoice

1. On the left side menu, under Accounts Receivable, click on Cash Receipts.

Where to enter a payment on a client invoice

2. Click on the +Add button in the upper right hand side.

How to enter a payment on a client invoice

3. In the Add Cash Receipt window, select the Project the payment is for. Then add in the payment amount in the Amount field and select the date, payment type and check no. if applicable.

What fields to fill out to enter a payment on a client invoice

4. Select the Invoice payment listed under Payment (Invoices) by checking in the box on the left and check the Total fields at the bottom. The Difference field should show as 0.00. If not, go back and check the numbers/payment that you entered for any discrepancies. When finished click on Save.

Fields filled out when entering a payment on a client invoice

5. You'll see the Invoice payment listed under New in the Cash Receipts window. The payment has not been recorded yet and needs to be posted to be recorded. Review the payment for accuracy and if needed make changes by clicking on the Client Code. When ready to post, check in the box to the left of the Retainer payment and then click on Actions in top right and select Post. On the new window, select the fiscal month to post the payment to and click on Ok.

How to post a newly created payment on a client invoice

6. The Invoice payment is now listed under the Existing tab for Cash Receipts.

Enter a Payment for a different amount than requested

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