Clear net payment receipts? IE: sell to customer' set up as a bill. Customer is also a vendor. I get paid net cheque. How clear net cheque when I book the cash receipt?

I sell to customer' set up as a invoice. Customer is also a vendor who I set up a bill for their services. I get paid net cheque. How do I clear net cheque when I book the cash receipt?

Note: I am a beginner QB user to any help is appreciated!


Hi triacc2017,

Welcome to the QuickBooks Community. You can record your customer payments as contra account in a few steps. I’d be happy to show you how.

To clarify, did you already create the invoice and bill to your customer/supplier? In any case, if you haven’t created these transactions yet, kindly create them first. If you already created them, proceed to record the payment.

First, you need to create a journal entry. This way, we can add credits to each of the customer and supplier profiles you’ve created. Please refer to the screenshot on how to create the journal entry. 

Next, allocate the payments to your invoice. Go to your open invoice and record the payment.  Make sure to add the journal entry on the invoice payment. You can see it on the right side of the create invoice page or below the invoice table. Then, fill out the remaining amount of the invoice and save to mark it as paid. This process will now record the net payment for the excess amount.

Lastly, the journal entry created will also serve as the payment to the bill. You can verify it by checking the open balance on the supplier profile. Before the journal entry was created, there is an open balance. Once the journal entry is created, an offset is created to zero out the open balance. Thus, recording the payment for the supplier bill.

If you have other questions, please feel free to leave a comment below.

Was this answer helpful? Yes No
Default user avatars original
IntuitJuanConrado , Community Support Specialist
Employee SuperUser
1 additional answer

No answers have been posted

More Actions

People come to QuickBooks Learn & Support for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:

  1. Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
  2. Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
  3. Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
  4. Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
  5. Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.

Select a file to attach:

Qb community
Looking for advice from other business owners?

Visit our QuickBooks Community site.