Linked account for purchases - tracking deposits paid to suppliers

[MareeD1]

Hi, somehow our linked accounts have been changed and I am trying to re-set them.  Everything seems pretty obvious but I just want to check that if "I track deposits paid to suppliers" is ticked, that the linked account is Trade Creditors? I tried leaving that unticked but it won't then let me receipt a deposit payment to a supplier. Thanks!

[GDay53]

@MareeD1 

Welcome to the MYOB Community Forum, I hope you find plenty of useful information.

If you are using "I track deposits made to Suppliers" then the linked account should NOT be Trade Creditors.

I should be an ASSET account called something like Supplier Deposits and it should be a bank type account.

[MareeD1]

Hi Graeme,  I actually don't want to track the deposits and have them allcoated to a separate account, but if I leave that unticked when I make a payment to a supplier and its not the full payment, I get a message saying that I have to select an account for it to be allcoated to.  How do I get around that if I don't want to track the deposits?

[Steven_M · Accepted solution]

Hi @MareeD1 

When you make a payment on a purchase order that payment is treated as a deposit to the supplier. As such, you do need to have a linked accounts for I track deposits paid to supplier  - Asset Account for Supplier Deposits. Normally, that you would be a separate account like Deposits with suppliers.

If you are not wishing to select that account/use deposits for suppliers you would need to convert that purchase order into a Bill before going to the Pay Bills window. This can be done by opening that purchase from the Purchase Register and selecting Bill to convert it. Once you are using a Bill, that Pay Bills transaction would not be treated as a deposit and thus that prompt to select a linked account would not appear.

[MareeD1]

Hi Steven,

Thanks for your reply, that makes sense now.  I only have to convert to a bill rather than an order and I won't get that message.

I appreciate your help.

Maree