Issuing refunds is unavoidable anytime monetary transactions occur. This article is going to walk you through the steps of what to do when issuing a refund by check so that it will sync to QuickBooks correctly. NOTE! Checks must be refunded from a Credit Memo, not an Invoice.
- Go to Favorites > Families. Filter for and edit the appropriate family.
- 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.
- 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 are only refunding them part of the amount paid you will 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.
- When the amount on the Credit Memo is correct, click Issue Check at the top.
- Input the Check Number (put "NA" if you do not yet know the check number) and the Name on Check. The Name on Check should be the school's name NOT who is receiving the refund. Select Save Refund.
- The Credit Memo will now have a zero amount. You can see the refund check in the Payments tab.
- Now you can run your QuickBook Sync > Sync Credit Memos and Sync Adjustments (Journal Entries). Once everything is synced, you can print the check directly from QuickBooks.
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