Where do I find credits in Reckon One?

Hi Accounts Darwin,

I'll use a simple example to give my input on this question.

Say I have a customer Steve Jobs who has paid me $125. However Steve only owed $100, so $25 of the $125 was an over payment. Steve has requested for the $25 over payment to be refunded & not stored as a credit on his account. I have since refunded Steve the $25.

My bank statements shows two transactions...
$125 money in
$25 money out

I enter the $125 money in as a receipt against my bank account (in my example Business Bank). $100 is assigned to an income account (in my example Income X) & $25 is not assigned to any account.

Note: This receipt could also relate to an invoice, however, to keep this example simple I have chosen not to cover the invoice scenario.



When saving the receipt, I see the credit message & select the option Issue credit


If I look at my financial reports I will see...
 - that my bank account balance has increased $125
 - that my income account has increased by $100
 - that accounts receivable has decreased by $25





I enter the $25 money out (refund) as a journal. I debit accounts receivable $25 & credit my bank $25. On my debit line I also select the customer Steve Jobs in the contact field on that line.


If I look at my financial reports I will see...
 - that my bank account balance shows $100 (i.e the $25 customer credit has been reversed)
 - that my income account shows $100
 - that the negative entry of $25 on accounts receivable relating to the customer credit has been reversed







If I look at my customer reports I will see...
 - the $125 payment (receipt transaction)
 - the $25 refund (journal transaction)





When I reconcile my bank I will see...
 - $125 money in
 - $25 money out




Please note that this is just a suggestion & that there may be other community members (e.g. accountants, bookkeepers, partners, Reckon staff or other members who have gone through this process...etc) that are more knowledgeable on this topic than myself.

If it's agreed that the credit will be retained for a later invoice, once you have saved the applicable invoice, you can apply the credit via the Receive payment option within that invoice.

Yes that is correct.

Hi David,

The easiest way to locate a customer credit is to view the Aged debtor transactions report.

Reporting > Reports centre > Customers > Aged debtor transactions

If you have a credit transaction for a customer, the report will show a negative entry for this customer & you can drill down/open the relevant transaction by clicking the transaction type (1st column)

I just found a pain for this! When applying the credit to a current invoice, you can't if you've locked off your accounting period post reconciliation! So I've got to go back unlock the appropriate month to do it!

Hi David,

In the case where a customer pays you early & the whole payment relates to an invoice that is yet to be raised. You can enter a credit receipt transaction for this customer. In the receipt, untick the option Use transaction total, this unlocks the Amount field where you can then manually enter the amount of the early payment. Don't enter any allocations in the New or Allocate tabs in the bottom of the receipt.


When you save this receipt you should be prompted whether you want to issue a credit, click Issue credit.

This receipt will increase your bank account balance but not affect your income on the profit & loss as the two accounts updated by this credit receipt are the bank account & accounts receivable.



Later when you have raised the invoice, you can allocate the credit to the invoice when going through the invoice payment process & apply the credit.


In the case where a portiion of a customer payment needs to be treated as an early payment or overpayment. See my first comment on this thread regarding how to enter this receipt. It's almost identical to the scenario covered above except that you are allocating part of the receipt total & leaving the other part unallocated resulting in a credit for the unallocated portion of the total.