I started using QF at the start of my new financial year. All working great.
I have just received my annual invoice from one supplier and, because of a credit last year from them, I am already in credit with the supplier for a portion of this invoice. I can’t see how to put a “starting credit” on the supplier account. I tried to put a negative opening balance, but the ‘-’ is not accepted.
I have read: Prepayments and credits
which says it covers the situation when “From time to time you may want to assign a prepayment or credit to a client or supplier” but when I go to the part where it says " you will need to click on the More Options button", there is no More Options button there! I therefore can’t proceed any further.
I could put the invoice in as the amount net of the credit, but then that will mess the VAT element up and doesn’t reflect the real cost of this service to my business for this financial year.
Surely there is a simple way of adding a supplier where you are already in credit?
Opening bank balance entered correctly as at 30/4/2022, matching amount in bank. My financial year starts 01/05.
Supplier opening balance should be negative (they owe me, I don’t owe them) at 30/4, to take into account it’s in credit, caused by supplier issuing a credit note in the previous financial year. Positive balance equals what I owe supplier at year start? Negative balance equals what supplier owes me, ie: prepaid?
QF won’t let me enter a negative opening balance for a supplier account, which it surely should be, as to clear the invoice value I need to pay less than the invoice value, not more, which is the situation a positive balance would require.
Or am I looking at negative/positive the wrong way around in this scenario.
But if I am, how would one enter an outstanding payment to supplier at year start as QF only accepts positive entries, not negative ones?
You would have to enter a credit note on their account (created by entering a negative net value when creating a supplier invoice).
The reason I was querying opening balances is that if you have entered your opening balances and you enter the credit (dated on or before 30/04) you would affect your creditors balance and another nominal code (what was the credit for e.g. general purchase)
The general purchase side can then be moved to your retailed earnings to clear the brought forward P+L value.
