Overpaid supplier

Peter Member Posts: 14
edited April 2020 in Point of Sale (Desktop)
A staff member has overpaid a supplier by a considerable amount. I have spoken to the supplier, who will refund the difference by electronic funds transfer.

For now, I need to record the transaction, which is the amount that was actually transferred to the supplier from our internet banking within Reckon.

What I need to figure out:
  1. How do I record the amount that was transferred to the supplier, while reflecting one open invoice from the supplier was paid during the process (procedure within Reckon)
  2. Deal with the amount that will be transferred back to us from the supplier and apply that within Reckon
Any assistance would be greatly appreciated.

[Reckon Accounts Premier: Retail Edition 2014]


  • Kevin Silberberg
    Kevin Silberberg Member Posts: 50
    edited July 2015
    Peter, there are several ways of dealing with the over payment and refund.  My preference is to use General Journals.  Suppose you owed the Supplier $100 and transferred $500.  Hence, there will be a $400 refund.

    Debit Accounts Payable $100.00 Select the Supplier Name in the appropriate column of the Journal
    Debit a Suspense Account $400.00 (the excess amount paid)
    Credit Bank Account $500 (the amount that was transferred from your bank account).

    When you receive the refund ($400 in the example), perform the following journal:

    Debit Bank $400
    Credit the Suspense Account $400.

    If your Chart of Accounts does not include a Suspense Account, create an Other Current Asset and give it the name "Suspense Account".
  • Peter
    Peter Member Posts: 14
    edited December 2019
    Hi Kevin

    Thank you for your response.

    I'm a little uncomfortable doing it this way, what would be another process to record this transaction(s)?
  • Kevin Silberberg
    Kevin Silberberg Member Posts: 50
    edited July 2015
    Peter, there are rough and ready ways of managing the process but they do not meet acceptable standards.  Do you have a bookkeeper or accountant who can perform the journals for you?
  • Sheryl
    Sheryl Member Posts: 57
    edited April 2020
    I need help with this in RAH