How Do I Handle Overpayments?

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When an overpayment is made you want to reflect a credit. This situation occurs when an invoice has been paid but with an overpayment of the invoice. It can be a few cents to several hundreds of dollars. You need to reflect this overpayment and credit the customer.


Do the following when you receive a paid amount that is greater than the amount owed:

  1. Select Projects on the navigation bar.
  2. Select a listed project to edit.
  3. Click the Billing tab and select Transactions from the drop-down list.
  4. Select New from the Action drop-down list to create a new transaction.
  5. Date the Payment.
  6. Choose the Payment option.
  7. Enter the received payment in the Amount field and click Apply for a listed invoice. Now there will be a remaining balance in the Amount to Apply field.
  8. Click Projects to list projects.
  9. Enter the remaining amount and click Apply for a listed project. The remaining value is now applied to the project. The next invoice after this payment date will reflect the overpayment because there are funds in the project balance.
  10. In the Projects > Billing > Options screen, click the Invoice Format tab and choose the Show Project Balance option. The invoice will show the previous additional payments.