Recording prepayment to supplier and subsequent partial fulfilment of order

Hi Richard1052,

Keeping it simple and reflecting on what’s actually happened is the key to record all of this. Since you paid the pro-forma invoice upfront, create a Spend Money transaction. Allocate the full amount to a "Prepayments/Deposits to Suppliers" account. This will track the payment you made before receiving goods. Once the supplier sends the proper invoice for the partial order, enter it as a Purchases Bill. Match this bill to the prepayment you recorded earlier this links the payment to the actual invoice. For the broken items that resulted in a credit adjustment note, create a Supplier Credit Note in MYOB. Use this to adjust the original bill or negotiate its application to future invoices, depending on the agreement you’ve got with the supplier. After all that, make sure you’re tracking the leftover prepayment balance this represents what the supplier still owes you. Depending on your arrangement, you’re either waiting for the rest of the order or a refund if no further goods are coming.

You can check this help article for supplier prepayments for more info. It’s all about recording the transaction flows just like they happened!

Regards,

Shella