Receiving Payments

Create a Received Payment

To record a payment, start by clicking + New at the top of the left-hand navigation bar. Then click Receive payment, the second item in the Customer column.

Top Section

Use Undeposited Funds

When receiving payments in QuickBooks, ensure you're using 'Undeposited Funds' correctly. Think of this as a drawer where you put checks before taking them to the bank. Select 'Undeposited Funds' in the 'Deposit to' field when recording payments, unless you're depositing a single payment directly to the bank. This helps to group multiple payments into one deposit, just like you'd do when taking checks from your drawer to the bank.

Here are all the fields in the top section of the Receive Payment window with a short description for each.

Field	Description
Customer	The customer who made the payment.
Payment date	The date the payment was made.
Payment method	The method by which the customer made the payment.
Reference no.	The reference number for the payment. Usually, this is the check number if the payment was made by check.
Deposit to	The account where the payment was deposited to. Undeposited Funds is most commonly used so you can combine multiple checks into a single deposit.
Amount received	The total amount of the payment received.

Outstanding Transactions Section

In the Outstanding Transactions section, you'll see a list of the selected customer's outstanding invoices. Enter the payment amount next to the corresponding invoice. QuickBooks Online will automatically mark the invoice as paid.

Saving and Closing

Once you've entered all the necessary information, you can leave a memo or add an attachment if necessary.

When you're ready, click Save and close on the bottom right. This will record the payment and apply it to the chosen invoice. If you want to review the payment details later, you can click Save and new to save this payment and start a new one immediately.

Remember, always double-check your payment details before saving. This can help prevent common mistakes such as applying a payment to the wrong invoice.

QuickBooks Payments

Deposits

New Navbar

1. Click Get paid & pay on the left-hand menu
2. Select Deposits underneath Get paid
3. Click on the deposit to see the invoices that were paid in the deposit.

Old Navbar

1. Hover over Sales on the left-hand menu
2. Select Deposits underneath Customers
3. Click on the deposit to see the invoices that were paid in the deposit.