Sometimes a customer will pay only part of the invoice, or you may have paid part of a bill.
Xero has a nifty trick for this. When reconciling Xero, you can 'split' the invoice or bill to record only the amount paid. The unpaid balance remains in your Accounts Receivable or Accounts Payable systems and can be reconciled against the invoice/bill when the money is next received or paid.
It's a lot easier than it sounds, so try it out when the situation arises. You can always 'remove and undo' the transaction if an error is made! Or contact our Support team and we can do it for you!
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In the Reconcile tab, for the relevant bank statement line, click Find & Match.
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Select the checkbox for each invoice, bill or expense claim you want to match with the bank statement line. You can search for the transaction by name, reference, or amount.
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Click Split.
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Enter the amount of the part payment you want to record.
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Click Split.
- Click Reconcile.