Record a customer payment

When a customer pays by bank transfer, cheque or cash, record it with a Payment Entry. The payment is linked to one or more sales invoices, so OLY ERP knows what is still owed.

Before you start

• A submitted Sales Invoice.
• The bank or cash account the money went into exists. See Bank and cash accounts.
• The bank transfer reference number or cheque number, and its date.

Steps

1. Open the submitted Sales Invoice.
2. Click Create > Payment. A Payment Entry opens with Payment Type "Receive", the customer and the invoice amount.
3. Check the Posting Date. Use the date the money arrived in your account.
4. Choose the Mode of Payment, for example "Bank Transfer", "Cheque" or "Cash".
5. Check Account Paid To. It is the bank or cash account that received the money.
6. Enter the Paid Amount the customer actually paid.
7. Enter Cheque/Reference No (the bank transfer reference) and Cheque/Reference Date. These are required for bank payments.
8. In the Payment References table, check the Allocated Amount for each invoice.
9. Click Save, then Submit.

One payment for several invoices

1. Go to Accounting > Payment Entry > + Add Payment Entry.
2. Set Payment Type to "Receive", Party Type to "Customer" and choose the Party.
3. Enter the Paid Amount and the reference number and date.
4. Click Get Outstanding Invoices, choose the date range and click Get Outstanding Invoices again.
5. The system allocates the amount to the oldest invoices first. Change the Allocated Amount per row if the customer told you which invoices they paid.
6. Save and submit.

Partial payments

If the customer pays less than the invoice, enter the real amount. Example: the invoice is 11,500 ETB and the customer pays 6,000 ETB. After you submit, the invoice status is Partly Paid and its Outstanding Amount is 5,500 ETB. Record the next payment the same way.

Good to know

• If the customer withheld tax from the payment, do not reduce the invoice. Your accountant records the withheld amount, at the current legal rate, set up by your consultant.
• An advance payment (before the invoice) can be recorded with no invoice in the references. It is linked to the invoice later.
• Use the bank reference number every time. It makes bank reconciliation much easier.
• To check what each customer still owes, use the Accounts Receivable report.

Related

• Create a sales invoice with VAT
• Selling reports: what customers owe and what you sold
• Bank reconciliation