This article explains how to process a negative payment in QuickBooks when using Lump Sync.
A negative payment comes from these entries:
- Cash adjustment on a Reconciliation
This process will work for QuickBooks Desktop and QuickBooks Online.
Since Lump Sync doesn't create individual customers or transactions in QuickBooks, any refund check will need to be handwritten.
A CoreBridge customer has been given a $100.00 refund.
When a CB refund appears on the Journal entry in QuickBooks it is posted as a credit to Undeposited Funds.
A negative deposit cannot be recorded in QuickBooks so a journal entry is needed to move the amount out of Undeposited Funds and out of the associated bank account.
- Create a journal entry
- Debit: Undeposited funds
- Credit: The bank account the refund was issued on. This could also be your Petty Cash account.
- Make a $0.00 deposit by selecting both the positive and negative amounts.
Line 1 is the $<100.00> from CoreBridge.
Line 2 is the debit from the journal entry