Creating Vendor Refunds

This article will walk you through how to create a vendor refund.

 

Note: These instructions assume that you currently show an overpayment or credit on an existing order. See Credits if this is not the case.

Step 1. Record the refund check from the vendor as a Misc. Cash Receipt using suspense as the income account:

  • Select Accounting>Money In

  • Payment Method = “Receive Misc”
  • Received From = The Address ID of the vendor giving the refund (if you are unable to locate the vendor click on the magnifying glass, change the "Type" to "Vendor", and Select)
  • Check # = “REFUND”
  • Amount = the amount of the refund
  • Description = “Refund on Order (add order # here)”
  • Cash Account = Account money is being deposited into.

Note: If it’s a vendor refund to the credit card, select the credit card account as the cash account.

  • Income Account = “Suspense”
  • Select Post Payment


Step 2.

Pro Tip:

To check the accuracy of your entry:

  • Always review the balance in your suspense account both before and after your receipt  (it should be the same when you finish as it was when you started)
  • Confirm your cash account has been increased by the amount of the refund
  • Confirm that the order now shows the correct balance