Discounts, Credits, and Write-Offs

Credits, Discounts, and Write Offs function in the same manner as payments, except you specify whether you are applying a credit, a discount or write off.  As with payments, these can be linked directly to an invoice, or applied on account. It is recommended that you always enter any credits, discounts or write offs to the payment screen prior to processing payments from the customer.  This facilitates the payment process as you know the exact balance remaining due after the credit, discount or write off.

Discounts should be used for things like early payment discounts.  Credit should be used for generic credits like crediting a customer for shipping and handling charges.   Write off is for uncollectable debt.  None of these should be used to correct erroneous sales tax or in the event of a merchandise return or exchange.  You should use the negative invoice function for these types of credits.

From the customer accounts receivable screen, select Disc from the toolbar.  The customer discount/credit screen will then appear.

(Click on any field below for context-sensitive help)

Click on the radio button to select whether you want to enter a Discount, Credit or Write off.  (Discount is automatically selected for you.)

Type in the amount and press [Enter].  If desired you can change the date and press [Enter].  You will then go to the description field, which will automatically fill in for you.  It is recommended that you leave it as is; however, you may change it if necessary.

Once you have entered an amount, the remaining to apply will appear in the lower, right-hand corner.  This is the amount that is remaining to apply to the open invoices.

Selecting Invoices

To select invoices to credit, simply double-click them in the grid.  You may also use your arrow keys or [PgUp]/[PgDn] to move around the grid, pressing [Enter] on any row will select it to credit.

As you select invoices, the first column will indicate a 'Y' and the amount to pay will automatically default to the balance due on the invoice.  The remaining to apply will also automatically be adjusted.

If at any point, the remaining to apply is less than the balance due on an invoice you have selected, the remaining to apply will be applied as a partial payment against that invoice.

Once you have applied the entire amount to the correct invoices and remaining to apply is at 0.00, click Ok to process.

Applying on Account

If there is an amount left in remaining to apply when you click Ok to process the credit, discount, or writeoff, a warning box will appear advising you that not all money was applied and asking if you want to apply it on account.  If you made a mistake and simply need to correct it, select No and you will return to the payment grid when you can make any necessary adjustments.  If, however, you do want the amount written generically to their account, select Yes.  Any selected invoices will be written as normal, however, an additional record will be added for the remaining amount, using YEARMMDD for the invoice number.