We have a simple process to share for customer deposit tracking to make your job much easier. In order to track a deposit made on a sales order there are several steps to take to track it properly.
First, you need to create a liability account called “Customer Deposits”
Next, you will create a service item code called “Customer Deposits Paid” and map it to customer deposit.
Then, you create a discount (non taxable code) or payments item code, call it “Customer Deposit applied” and map it to customer deposit.
Now you are ready to create your workflow.
- Create your sales order with the inventory items your client is purchasing.
- On the sales order list out the customer deposit paid. Enter as a positive amount. Immediately below it, enter customer deposit applied. This will be entered as a negative amount.
- This will show the trail of Deposit invoices and leave the proper item code to be applied to final invoice.
- From here you need to create an invoice from the sales order and only invoice for “Customer Deposit Paid”.
When the job is ready to be invoices in full, select all and it should be your inventory items and only Customer Deposit applied. This net amount should be the balance due. It’s that easy!