Payments on Account for Suppliers and Customers

  • 5
  • Idea
  • Updated 2 days ago
Hi,

It's great how you can allocate receipts and payments to/from customers/suppliers from the bank explanations screen, however what if a customers pays you too much money or if you happen to make a small overpayment to a supplier, or have to make a payment to a supplier before they actually send you a bill.

You should be able to 1st of all allocate payments to your invoices/bills and if there is a balance, you should be allowed to explain it by choosing a contact to allocate it against. If that payment on account then later gets used, you can re-explain it by allocating it against the correct invoice/bill.
Photo of Steven Michael Nobes

Steven Michael Nobes

  • 5 Posts
  • 1 Reply Like

Posted 6 years ago

  • 5
Photo of Ingrid

Ingrid

  • 329 Posts
  • 9 Reply Likes
Hi Steven,

Thanks for getting in touch.

If this happens, can I suggest you edit the bank transaction to the value of the Invoice (or Bill) via your bank upload, or bank feeds etc and FreeAgent will create a balancing entry for you to explain this against another item.

Here's more on this:

Pay off multiple invoices in one payment - http://www.freeagent.com/support/kb/b...

If you're VAT registered, you'll need to record receipts (and payments) against something e.g. an Invoice or Bill in the same VAT quarter, otherwise you could just use the Contra account.

So for money in yet to be allocated against an Invoice, this could be recorded as Other Money In > Receipt into Contra Account or Bills it's Other Money Out > Payment from Contra Account and you can then re-allocate this later.

It's probably a good idea to put some notes on the Contact when using this method. Here's more on this:

Adding notes to a contact - http://www.freeagent.com/support/kb/c...

I hope this helps.

Kind regards

Ingrid
Photo of Dylan Jones

Dylan Jones

  • 2 Posts
  • 1 Reply Like
Hi,

I have been using your recommended method of using the contra account as a workaround for a while now and unfortunately it is one of the very few disappointing aspects of using FA. I have multiple accounts with the same companies that take money monthly by direct debit but only invoice quarterly and keeping track of all these payments is a headache.

What really should happen is as suggested above, that the payment is allocated against the supplier/customer account as a payment on account. As it stands we have no quick way of seeing the correct customer/supplier balance and this is a fundamental requirement of accounting software.
Photo of Suzanne Herbison

Suzanne Herbison, Official Rep

  • 894 Posts
  • 42 Reply Likes
Hi Dylan

Thanks for your post. And I have added your +1 for payments on account.

Sorry Dylan, but there is nothing else I can add to this right now. Apologies for any inconvenience this causes you.

Regards

Suzanne
Photo of Judith Halsall

Judith Halsall

  • 1 Post
  • 0 Reply Likes
Have you added this option as yet?
Photo of pradeep ranjan

pradeep ranjan

  • 1 Post
  • 0 Reply Likes
If a petroleum products dealers supplies fuel to any government department,can he get advance/adhok payment against abstract bill if payment is delayed. And upto how much of the bill ?.
Photo of Rebekah Slight

Rebekah Slight, Employee

  • 133 Posts
  • 12 Reply Likes
Hello Judith,

Thank you for your post,

I have added your +1 to our feature request list but I'm afraid I have no more information to give you at present.

Regards,

Rebekah
Photo of Sean Rushton

Sean Rushton

  • 1 Post
  • 0 Reply Likes
Please add me +1 to this for a feature request.
Photo of Azam Javaid

Azam Javaid

  • 111 Posts
  • 5 Reply Likes
Hi Sean, 

No problem, we'll add your +1 too 

Kind regards, 
Photo of david

david

  • 2 Posts
  • 0 Reply Likes
Please add me too!
Photo of Ioannis Pantazopoulos

Ioannis Pantazopoulos

  • 141 Posts
  • 3 Reply Likes
Hi David,

I've added your +1 as well.

Hope this helps.

Regards,

Ioannis
Photo of si

si

  • 1 Post
  • 0 Reply Likes
+1
Photo of Ewen Crawford

Ewen Crawford, Employee

  • 83 Posts
  • 2 Reply Likes
Hello Si,

Thank you for your post and letting us know how FreeAgent can be improved for you.

I have added your +1 to our feature request board for you.

Apologies I cannot add anything further at the moment.

Kind Regards,

Ewen
Photo of Chris Enright

Chris Enright

  • 1 Post
  • 0 Reply Likes
This is easy on the Sage One app. I am very disappointed that I cannot make a payment on account... Instead, I am making 'payments' of random amounts and they don't show on the supplier's statement. That's quite poor...

Put me down for a +1... I can't even imagine the stuff you are actually working on because I am not noticing any new or improved features.
Photo of Richard Crozier

Richard Crozier

  • 5 Posts
  • 0 Reply Likes
Four years and still no action, judging by the response to purchase orders (asked for for 10 years now with no action) I guess we shouldn't hold our breaths.
Photo of Dylan Jones

Dylan Jones

  • 2 Posts
  • 1 Reply Like
Agreed, this should be done by now. Fairly elementary functionality IMO
Photo of William Isted

William Isted

  • 1 Post
  • 0 Reply Likes
Just for reference this question and several other of the same question were asked about 7 years ago.

https://community.freeagent.com/freeagent/topics/how_to_handle_credit_on_account
Photo of Geoff

Geoff

  • 4 Posts
  • 1 Reply Like
Me Too +1 - This is crazy such a fundamental requirement gets such a low priority!
Photo of Mole

Mole

  • 1 Post
  • 0 Reply Likes
+1 - I run an IT company and provide e-book keeping advice. I have to say the reason we use FreeAgent is because its a Freebie with our business bank account. If this feature had been implemented, or should I say this shortcoming been resolved we would be recommending it to our customers, however in the meantime we are recommending a competitor product. When I told our accountant about this flaw, he suggested we didnt bother and use a "serious accounting solution instead"