Hello there, @userhuini. You're unable to match an online advance payment directly to a Purchase Order (PO). Since the PO is a non-posting transaction in QuickBooks Online (QBO), you can create one then send it to your supplier anytime. You can record your online advance payment using the Expense feature and post it to the Accounts Payable (A/P) account. Based on your description, it seems that you've already received a bill from your supplier even though you haven't received the goods yet. With this, you can easily create a bill and link the expense to it. First, create an expense transaction and post it to the A/P account. Here's how:Go to the + New button.Select Expense.Choose the name of the supplier in the Payee field and the name of the account in the Payment account section.In the Category column, select Accounts Payable (A/P) or Trade and other payables, then enter the description (optional), amount, and all other necessary details.Click Save and close. I've attached a screenshot below that shows the last three steps. Then, create your PO. Once done, enter a bill and link the PO to it. Please see the attached screenshot below for your reference. After that, you can pay the bill using the expense transaction (advance payment). You'll have to link the bill and the advance payment by creating an Expense transaction. Refer to the screenshot below for your reference. Additionally, you can pull up a supplier transaction report. This is to make sure you've recorded all your expenses accordingly. Just select the report you want from the What you owe and Expenses and suppliers sections in the Report menu's Standard tab. Please don't hesitate to select the Reply button below if you have other supplier concerns in QuickBooks. I'm just around to help. Take care always.

Question

One adv payment via online,havent received the goods and we need to raise PO and when get DO do receive. How to match it? Since the supplier there show make payment?

Forum|Forum|5 years ago
October 15, 2020
1 reply
1 view

No text available

QuickBooks Online

R

Rea_M

Level 10

Hello there, @userhuini.

You're unable to match an online advance payment directly to a Purchase Order (PO). Since the PO is a non-posting transaction in QuickBooks Online (QBO), you can create one then send it to your supplier anytime.

You can record your online advance payment using the Expense feature and post it to the Accounts Payable (A/P) account. Based on your description, it seems that you've already received a bill from your supplier even though you haven't received the goods yet. With this, you can easily create a bill and link the expense to it.

First, create an expense transaction and post it to the A/P account. Here's how:

Go to the + New button.
Select Expense.
Choose the name of the supplier in the Payee field and the name of the account in the Payment account section.
In the Category column, select Accounts Payable (A/P) or Trade and other payables, then enter the description (optional), amount, and all other necessary details.
Click Save and close.

I've attached a screenshot below that shows the last three steps.

Then, create your PO. Once done, enter a bill and link the PO to it. Please see the attached screenshot below for your reference.

After that, you can pay the bill using the expense transaction (advance payment). You'll have to link the bill and the advance payment by creating an Expense transaction. Refer to the screenshot below for your reference.

Additionally, you can pull up a supplier transaction report. This is to make sure you've recorded all your expenses accordingly. Just select the report you want from the What you owe and Expenses and suppliers sections in the Report menu's Standard tab.

Please don't hesitate to select the Reply button below if you have other supplier concerns in QuickBooks. I'm just around to help. Take care always.

U

userhuiniAuthor

Hello thank you for answering me. However, it seems like you misunderstanding.

My here is do advance payment so bank is out $1,500.00

PO before had created then when delivery come, my colleague will create RECEIVE.

When he did so, it will prompt Make Payment for this supplier.

How am I going to match it since I had make advance payment?

Or should I put under Cash In Transit first?

Sorry I could not screenshot for you to see.

Thanks.

BettyJaneB

Level 9

I appreciate the details that you gave, @userhuini.

You can create a vendor credit to record the advance payment that you made. After that, you can link the credit to your supplier's bill once it is made available. Just follow the steps shared by my peer Rea_M above on how to add the PO to the bill.

To create a vendors credit:

Click on +New button at the left pane.
Choose Bank deposit.
Select the account where the money will be deposited.
Refer to the Add funds to this deposit section.
Enter where the amount was coming from in the Receive From box., select the Account and key in the Amount.
Hit on Save.

Once done, you can apply the existing credit to an open vendor transaction, using the Pay Bill feature.

Here’s how:

Go to the Plus icon and select Pay Bills.
Choose the vendor from the list.
Once selected, the vendor's existing credit populates on the Credit Applied column.
Hit Save and close to apply the credit to the vendor open balance.

pay bill vendor credit 1.PNG pay bill vendor credit 2.PNG

You can also check out this link attached to give you more tips about managing vendor credits and on how to apply them depending on the scenario that you're in: How do I handle supplier credits and refunds?

I got your back if you have any other questions with this or with QuickBooks. Just let me know in the comment section. Take care!

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