Payment functionality helps you capture the payments received from customers. If you present your customer with an invoice of $90 and they provide you a check of $100, you can create a payment record of $10. You can now apply this payment of $10 to your next invoice. 

Creating Payments

To create a Payment,

  1. From All Tabs, click Payments.

  2. Enter details for the following fields.

    FieldDescription
    Account IdSelect the account name from the lookup field
    TypeSelect the type of the payment
    Payment AmountThe amount to be applied to the invoice
    Payment DateThe date on which the payment was applied
    Reason CodeThe reason code of the payment
    Payment External IDID of the payment as stored in the external system
  3. Click Save.

A payment record is created with Status as Unapplied. A destination A/R Transaction record is created with Ending Balance equal to Payment Amount. 

Applying Payments

You can only apply payments to approved and unpaid invoices. To apply a payment,

  1. From the payment record, Click Apply Payment.
  2. All the unpaid invoices of the account are displayed.
  3. Select the invoice line items to apply for the payment. Enter the amount you want to apply to an invoice in the Apply Amount field. 
  4. Click Next. 
  5. Enter the processing options;
    1. Send Payment Notification: Select this field to send an email notification to the billing contact when the payment is applied. 
    2. Override Email Template: Enter the email template to use when sending the payment notification email. If you leave this field as blank, default email template of the account is used.
  6. Click Finish.

The status of the payment record changes to Applied if you applied the entire amount of the payment or Partially Applied if a part of the payment was applied to an invoice. Available balance changes to reflect the remaining balance of the payment.  

Related A/R Transaction records are created for each invoice line item that was paid through the payment. A destination Related A/R Transaction record is created with Ending Balance equal to the Available Balance of the Invoice. 

The invoice Status changes to Paid or Partially Paid and Total Due Amount is updated. 

You cannot cancel an invoice if a payment is made against it.