A cash receipt is used to record inbound cash received from a customer, investor or vendor. When a cash receipt is initially created and saved, it is automatically posted. It can then be applied to one or more Billing records.
Do you want to:
Enter a Cash Receipt
1. Navigate to Accounting Home and under Cash In, click Cash Receipts.
2. Click New, enter the following fields as needed, and click Save.
- Customer (Account): Select the account the payment is from in this field.
- Receipt Date: Enter the date the cash receipt was received in this field.
- Amount: Enter the total amount of the receipt.
- Payment Reference: This is mostly used to enter the check number or wire information.
- Type: This field is optional and can help in filtering reports and list views for the Customer Receipts, Customer Prepayments, Vendor refunds, and Other receipts transactions.
- Accounting Period: Used to specify the accounting period for financial reporting. This field can be left blank and will automatically populate with the accounting period that the receipt date resides in.
- Posting Status: A status of In Process indicates the receipt has not been posted or finalized. When initially creating a new Cash Receipt, the default status is Approved, which indicates the receipt has been finalized and can be posted. A status of Posted indicates the debits and credits have been recorded in the ledger, and the Cash Receipt cannot be edited unless it is first unposted.
Note: If the Auto-Post Source Documents setting is enabled on the Post Settings tab in Accounting Settings, a Cash Receipt that is in an “Approved” status will automatically post after it is saved. If this setting is not enabled, but the daily Scheduled Post job has been created in Accounting Settings, all “Approved” Cash Receipts will automatically post based upon the Next Run Date and Preferred Start Time.
- Bank Account: Select the bank account for the deposit. The GL Account here will be debited with this transaction. If left blank it will default to the default Bank Account set on the Accounting Settings tab.
- Credit GL Account: If left blank this will default to the Unapplied ARGL Account set on the Accounting Settings tab. This GL Account is a contra-asset suspense account that will be credited with this transaction, and then debited when the Cash Receipt is applied to a Billing.
- Cash Flow Category: If cash flow functionality is being used, select the appropriate Cash Flow Category for the Cash Receipt.
- Additional Accounting Fields: GL Variables, Projects, Products, and Project Tasks can also be tagged. If populated, the information will post to the transaction.
- System Fields: Bank Deposit, Bank Reconciliation, and Cleared Date will be automatically populated as the Cash Receipt moves through the accounting cycle. Leave these fields blank.
Apply a Cash Receipt in Lightning
Once a cash receipt has been entered and posted, it is now ready to be applied to the account that was billed.
The Cash Receipt Apply screen in the Lightning UI supports record pagination of up to 2,000 records. From this screen, you can quickly and easily perform tasks such as the following:
- Select a different customer for applying the Cash Receipt
- Enter and search for a specific Billing Number
- Select the Posting Status as Posted, Approved, or All
- Enter a Billing Date Range and/or a Due Date Range
- Enter a Billing Amount range.
The Received Amount and Applied Date displays for each Billing, and can be adjusted, if necessary. In addition, the Adjustment Amount and Adjustment GL Account can be modified for each Billing. When you click an arrow to apply a Cash Receipt amount, the Applied and Balance fields automatically adjust accordingly.
- Navigate to Accounting Home and under Cash In, click Cash Receipts.
Important: The remaining steps to actually apply a Cash Receipt are only applicable if you are using the Lightning UI.
- Open the Cash Receipt you want to apply and click Apply/Unapply. The Cash Receipt Apply screen displays.
Note: Click here to view the above image in full screen.
- To modify/narrow the search criteria, perform any of the following, as necessary:
- In the Customer field, to select a different customer for applying the Cash Receipt, click the X to remove the current customer. Then, search for a new customer.
- In the Billing Number field, enter a specific Billing number to search for.
- In the Posting Status field, click the drop-down to select Posted, Approved, or All.
- In order to enter any of the following filters, you must have selected a Customer, Billing Number, or Posting Status.
- Billing Date Range - Click the Calendar icon in the From/To fields to select a date.
- Due Date Range - Click the Calendar icon in the From/To fields to select a date.
- Billing Amount - Enter a beginning and ending amount.
- Click Search Billings to search for the selected criteria.
- Click a right arrow to move a selected amount into the Received Amount field.
- (Optional) Make adjustments to any of the following fields, as necessary:
- Received Amount
- Applied Date
- Adjustment Amount
- Adjustment GL Account
- Do one of the following:
- Click Save & Refresh to save your changes and refresh the Cash Receipt Apply screen.
- Click Save & Complete to save your changes and return to the Billing record screen.
- When the Cash Receipt is applied, a Billing Cash Receipt is created, which connects the Cash Receipt to the Billing. Once it is created you are returned to the Billing record. To review the applied information, click the Applied To tab. Then, scroll down the page to view the applied information, as necessary.
Important: A user-defined posting status should not be created or assigned as a default status on the Billing Cash Receipt object. This will interfere with the posting of these records.
Note: Click here to view the above image in full screen.
Track Retainers and Customer Pre-Payments
Retainers and prepayments can be recorded in Accounting Seed as a Cash Receipt. When a Cash Receipt is created, a debit to cash and a credit to unapplied AR will be created. Accounting Seed will track pre-payments and/or retainers in the unapplied AR GL account by default.
If you would like to track retainers or pre-payments in a GL account other than unapplied AR, simply override the Credit GL account on the Cash Receipt to a pre-prepayment liability/customer deposit account. As cash is applied to Billings the liability GL account set on the cash receipt will automatically be relieved.
- The Cash Receipt Apply screen is available for the Lightning UI.
- The Scheduled Post job allows you to schedule an unattended background program to execute the automatic postings of records after business hours, overnight, or any desired time.
- The Product field has now been added to the Cash Receipt so users can tag a product if necessary. When added, the product value will be shown on the Cash Receipt's transactions posted to the General Ledger.