Recording customer deposits


 

SOS Inventory allows you to create an invoice for customer deposit and receive a payment against that invoice. This option will tie the deposit invoice to the sales order on the sales order list in SOS Inventory. This option will realize income at the time of the deposit invoice by the amount of the deposit.

 

Steps for processing a customer deposit

  1. Create a Customer Deposits liability account in QuickBooks Online.
     
  2. Sync SOS Inventory to QuickBooks Online to bring the account over.
     
  3. Create a service item in SOS Inventory called Customer Deposit and list the Customer Deposits liability account as the income account.
     
  4. Add a sales order.
     
  5. To the sales order, add the items that are being sold.
     
  6. Also add the following lines
    • Add the Customer Deposit item with a quantity of 1. Enter the amount of the deposit (negative).
    • Add the Customer Deposit item with a quantity of 1. Enter the amount of the deposit (positive)
      • Mark this line as shipped by updating the shipped column with a 1.
         
  7. Create the invoice from the sales order. Only the line marked shipped will flow onto the invoice.
     
  8. Optional: Use a modified template to send the sales order transaction to the customer. The template will display the sales order as a pro-forma invoice.
     
  9. Send this pro-forma invoice as well as the Deposit invoice to the customer. 
    • This invoice will balance between the Customer Deposit liability account and A/R.
       
  10. When the customer makes the deposit payment, record this as a customer payment against the deposit invoice (unless you are using SOS Pay, you'll have to record this payment in QuickBooks Online).
     
  11. Create a shipment from the sales order once fulfilled. Leave the negative deposit quantity on the shipment.
     
  12. Create another invoice from the sales order. The balance of this invoice will be less the amount from the first invoice. 
    • This invoice will record the income, including moving the Deposit from the Customer Deposit liability account into the income account and balance with A/R.
       
  13. Once the customer pays, add the payment to the invoice in QuickBooks Online.

 

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