Creating a Credit Memo from an Existing Invoice and Applying It

Creating a credit memo from an existing invoice can be very useful when you want a credit memo in the amount of the invoice. For example, if a family decides to withdraw you may need to zero out an invoice to account for the remainder that a family no longer owes. This option will work great for this and similar scenarios.

IMPORTANT! need to add a payment that was made outside of the system to an Invoice you will want to create a payment. Click here for more info.

PRO TIP! Make sure to toggle the payment plan offline if you want to need to make sure this account is set offline and won't have payments drawn on it. How to Toggle a Payment Plan On or Offline.

1. Go to Favorites > Families. Filter for and edit the appropriate family.
   
   
   
2. The Invoices tab will be highlighted and you will select and edit the invoice that you want to create a credit memo from. You can only edit one invoice at a time.
   
   
   
3. Click Create Credit Memo at the top of the screen. This will take you to a newly created Credit Memo that will be the exact opposite of the invoice you created it from. Credit memos are the inverse of the original invoice so positive dollar amounts will be shown as negatives and vice versa. Click here for a full example of a credit memo.
   • If you just needed to create a credit memo from an existing invoice then you are all done after this step and you can back out of the credit memo. Make sure to continue to the next step if you want to apply this credit memo to another invoice. 
   
   
   
   
4. If you need to edit the line item amount on the credit memo itself, scroll down to the Line Items subtab > select the line item > click on Change Amount. On the next page change the Rate > Save.
   
   
   
5. Click Apply Credit to apply the credit memo and this will take you to Step One.
   
   
   
6. Step One will have you select the Invoice that you want to apply the refund to and click Next. 
   (Right-click and "Open image in new tab" to enlarge)
   
   
   
7. This will take you to Step Two where you will confirm the amount you want to apply. Click Apply Credit when you are ready. 
   PRO TIP! Hover over the Schedule Choice help bubble for more info.  
   (Right-click and "Open image in new tab" to enlarge)
   
   • Select Spread over Remaining Schedule if you would like to have the credit memo evenly spread over an invoices payment schedule.
     Select Apply Today if you would like to have the credit memo amount applied first to the next payment due and then subsequently taken off of each additional payment due until the amount is fully used. For example, if a family has 10 remaining payments of $500 a credit memo of $1000 that is applied today would have $500 paid towards the first and second payment due. This would leave the remaining eight payments at $500. 
   • The Amount to Apply will be for the full amount of the credit memo but you can alter this amount and spread it over more than one invoice if you need to. 
   • Click Apply Credit to apply the credit memo and you are just about done!
   
   
   
8. You will automatically be taken back to Step One where you will see a confirmation message that you have successfully applied the refund. Click Back and this will take you back to the Edit Family page.