How do I manually allocate Customer Transactions?

You sell to customers via invoices, and customers pay you via receipts. In addition, you can also process discounts, returns and write-offs.

You have to match each receipt, payment and write-off to a customer or supplier invoice. If you invoice a customer for 836.12, for example, you must allocate 836.12 to this invoice via one or more receipts, discounts and/or write-offs. Until you do so, the invoice will display on the customer’s or the supplier’s statement.

The best time to do this allocation is when you enter the actual payment and receipt. As you enter the transaction, you can allocate it to the correct invoice. To allocate a receipt as it is processed, you will click on the line for the document record that you want to allocate to.

Auto Allocation

Note: To auto-allocate a receipt to the oldest invoice, edit the customer account and select the option to "Auto Allocate Receipts to Oldest Invoice

Manual Allocation

If you select to allocate the payment, receipt or write-off at a later stage, you will use the Allocations screen shown below.

Navigate to Customers > Transactions > Allocate Receipts

To allocate a receipt or payment, you will click on it in the Unallocated Items section on the right and then drag it over the invoice on the left that you want to allocate to. You are also able to unallocate a payment or receipt. If the due value on an invoice on the left is less than the total value, a transaction has been allocated to the invoice. To unallocate the transaction, click on the + sign to the left of the invoice, and then drag and drop the allocated transaction into the Unallocated Items area.

To allocate a partial payment or receipt, check the Split Unallocated Item Amount check box.

Select the payment or receipt from the Unallocated Items section, and drag and drop it over the invoice on the left that you want to allocate to.

The Value screen displays allowing you to enter the partial receipt or payment amount.

Click on the OK button to allocate the specified amount.

The balance of the payment or receipt remains as retained income and still displays as an unallocated item.