Creditors Control Account outstanding balance - Why?

Need help to explain what outstanding balance of £2904 - Creditors Control Account on BS under Current Asset is please? All transactions are reconciled. All bills are paid. So why this balance showing? Also when I click on some individual transaction (under Debit) then it shows me message " this payment has not yet been allocated to any invoice" What an annoying thing! How on earth is this possible when the usual reconciliation was done? Please if you can advise asap. Thank you

Hi @Martina_Sujova

The message this payment has not yet been allocated to any invoice means that it’s been tagged to a supplier and is currently being treated as a prepayment.

If you go to your supplier list, search on “Search” and tick the “prepayments” box, this will list all suppliers and include their “prepayment” value too
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When you submit that search, the new column will appear, and allow you to order by it, bringing all suppliers to the top of the list with prepayments
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Viewing individual suppliers will show the prepayments, and make it clickable for you to drill down on these
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The other option is to view the Debtors/Creditors report, found by going to Reports >> All Reports >> Debtor / Creditor Report. Initially, this will show the prepayment total in the top right hand corner


But if you click on “Export” this will generate a CSV file, which lists all of them individually in one place. You can open the CSV file in a tool like Microsoft Excel to make it easier to read

Hope that helps!

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HI Mathew. Thank you. I dont want them to be Prepayments (makes no sense).
I do not want them in future to appear as Prepayments. Please how to avoid this next time?
Also how to change these Prepayments to actual ivnoices payd or whatever so it does not show on Crediors Control acccount? Thank you

Also does it mean that all these prepayments are not included in P&L report? Well this is quite stressfull finding for me right now. I have not see this in any other software. Pretty frustrating. Could you please let me know asap how I convert these Prepayments to actual Purchases/paid ones so they properly show in P&L report too? Thank you

As long as the payments are tagged to an invoice, they won’t be classed as prepayments. A prepayment is just an unallocated payment to a client/supplier, without an invoice.

How do you tag your bank transactions in relation to sales and purchases? I suspect there may be a small change needed here to prevent this going forward, but we can take a look at the current setup and advise further.

There are two ways. The quickest one is just to create the invoices on your account, click “Log Payment” at the top of the preview


And then tick the “Apply from credit” option

The other way to do it, is if you prefer to create your invoices from the bank tagging side, you can untag the transactions and retag them, creating an invoice in the process.

It would, yes. But allocating them to an invoice will resolve this.

Prepayments are very common, and all accounting packages will likely support them in one way or another. Some call them prepayments, but they may also be called account credit, for example.

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