FAQ: Customer Payments

What happens to an invoice after I record a payment?

Once you record a payment and assign it to an invoice, the invoice's status updates automatically:

• If the payment covers the full amount, the status becomes Paid.
• If the payment covers only part of the amount, the status becomes Partially Paid and the remaining balance is shown.
• The invoice appears on your customer's account balance, making it easy to see what they still owe.

Can I split one payment across multiple invoices?

Yes. When you create a payment, you can add multiple invoices in the Invoices section. Usystems will allocate the payment to them in order (oldest invoices first) until the payment is fully used. You can also manually adjust how much of the payment applies to each invoice.

What if a customer pays more than they owe?

If the payment amount is greater than the total of all invoices selected, the extra becomes a credit on the customer's account (also called an advance or a balance). The customer can use this credit to pay future invoices, or you can refund it if they request it.

Can I edit a payment after I save it?

This depends on your system's configuration. Some payment records can be edited, while others are locked. If you need to change a payment, ask your administrator if it is allowed. Typically, if a payment has already been reconciled with your bank, it cannot be edited.

What if the customer pays in a different currency?

You can record a payment in any currency. Usystems will look up the exchange rate for the payment date and convert the payment to the invoice's currency. The system records both the actual amount paid (in the payment currency) and the converted amount (for the invoice). Small gains or losses on the conversion are normal and will be recorded in your general ledger.

What if the customer sends a payment but does not specify which invoice it covers?

You can create a payment without assigning it to any invoices. The payment will sit as a credit on the customer's account. Later, when they tell you which invoice to apply it to, you or your administrator can assign it then. Alternatively, if the amount matches an invoice exactly, you can assign it at the time of entry.

How do I record a check that I have not deposited yet?

Create a payment and assign it to a special account like Checks Received or Undeposited Funds (your accountant should set this up). Once the check is deposited, you or your accountant can move the payment to your actual bank account. This keeps your records accurate until the money is truly in the bank.

What is the difference between a "payment" and a "sales receipt"?

• A Payment records money received on an existing invoice. The invoice is created first, then you record the payment when the money arrives.
• A Sales Receipt (or cash sale) records a sale and payment together in one step. You would use this if the customer pays at the time of sale, not later.

Can a payment be applied to invoices from different dates?

Yes. You can create one payment and apply it to invoices from any date, as long as they belong to the same customer. Usystems will allocate the payment to the oldest invoices first (unless you manually change the order).

What if I record a payment by mistake?

If you recorded a payment in error, ask your administrator. Depending on your system setup, they may be able to void it, reverse it, or delete it. Some payments, especially those that have been reconciled with your bank, may not be reversible.

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