If a customer overpays for an invoice (or invoices), you can record the additional payment received as an overpayment. This article discusses how to record this in Versa.
You have a few options to record overpayment.
1. Book the overpayment as revenue so the customer is not expecting any cash back or credit for the overpayment.
2. Record the overpayment as a credit for the customer so they can use it to offset future invoices.
3. Record the overpayment as a credit and you will refund the overpayment to the customer.
The steps to record overpayment for the 3 cases are the same. The difference is what GL account you choose to record the overpayment in and the steps following the overpayment is booked.
Go to Invoices menu, Receive Payment. do the normal steps of recording a payment. Choose the invoices to apply the payments to. In the field "Total payment amount", enter the entire payment received which includes the overpayment and click on Allocate.
If the payment exceeds the total balances of the invoice items selected, the overpayment area at the top of the page will be for data entry. You would need to choose a place to store the overpayment (as a credit). Your GL account selected for payment will be debited to store the fact you received this amount of money. Choose a revenue account for option 1 listed above. Choose the CUSTOMER DEPOSIT option under Overpayment CR Account. This will store the credit with the customer deposit account which each customer has a sub-account for.
Confirm the overpayment amount at the bottom of the page is showing the total amount of overpayment and then post the payment.
For case 2, the balance in the customer deposit account is the credit for this customer to use for future invoices. See this article about the steps for this.
For case 3, to refund the customer back, you would create an invoice and then put the credit amount (as a negative number) on a new invoice line. Choose the customer deposit account as the GL account for the invoice line. Then using the Post and Pay at the bottom of the invoice page, choose the bank account you are refunding this credit from, and post the invoice and the refund together. This completes the refund of this overpayment.