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Amount of invoice overpaid due to different fx rates


How to account transaction if
Amount invoice 2000.00GBP

was paid and registered on bank statement

The invoice is overpaid in amount of 53.75 GBP.



Hi Dan

Are the invoice and the bank transaction in different currencies, or are they both GBP?


It is the same currency GBP. I have sent in invoice to client in Europe 2000GBP or example 2500EUR.
Cleint has paid me in EUR and my bank converted it automaticly in GBP.
As a result as GBP went up to EUR, I have received more, lets say 53.74£.
What is the way to account?

I think that the difference I should represent in P&L
Exchange Rate Variance (7906) account.



it is 153.74 not 53.74, was my mistake.
If I reduce amount of invoice to £2000, the differnce is -153.74 and doesnt allow me to save.
I would like somehow tolog rest -153.74 goes to Exchange Rate Variance (7906) account.


Hi @dan.l

Something such as the following may work.

You could treat the overpayment as just that and pay off the invoice and treat the rest as a prepayment towards future work. To do this, tag the money in transaction as a payment from a client and use the “pay down multiple invoices” option.

The rest will then sit on the client’s account and can be used against any other outstanding invoices.

I hope that helps!