Contra between Sales and Purchases

[BLCTSV]

Hi @Steven_M

I am using AccountRight Premier AU 2018.1.1.  I have a sponsorship invoice due to us for $1250 and have received a supplier invoice from them for $5500 (which is less the $1250 sponsorships).  How do I clear the sales account?

Thanks

[RienaP]

Hi @BLCTSV,

 My take on this would be Receive Payments from your customer for the sponsorship invoice and post it to Undeposited Funds account. With the supplier invoice, whatever the expenses it is from that supplier. I would raise a Miscelleneous Invoice layout for the amount that they did not invoice then I would pay off the bill from the Undeposited Funds account with the nil effect on bank.

Let us know how you go as we arehappy to help.

[Steven_M · Accepted solution]

Hi @BLCTSV

Welcome to the MYOB Community Forum, I hope you find it a wealth of knowledge

My answer would be similar to @RienaP's but I would personally use a contra or separate account rather than the undeposited funds account. For example, you would go to Accounts>>Accounts Lists>>New and create a new account ensuring that the account type is set to be Bank.  

Once that new bank account is in place you would the necessary payment transactions i.e. a Sales>>Receive Payments transaction and a Purchases>>Pay Bills transaction for the amount that you are paying off i.e. $1250. You would need to ensure that the accounts selected at the top of the window i.e. Deposit to Account (Receive Payments) or Pay from Account (Pay Bills) is that new contra account.

What the above process will do is clear off the invoice and reduce purchase amount by that, without the need to do an additional transaction (which @RienaP's solution would require).

[BLCTSV]

Great thanks  @RienaP and @Steven_M all sorted