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Cash Receipts

Geoff Ostrega avatar
Written by Geoff Ostrega
Updated over a week ago

Description

A Cash Receipt is used to reflect a payment received for a particular Customer. A Cash Receipt is then applied directly against an Invoice in the Receive Cash tab of the Cash Management module. This is different from an AR Credit, which is created as its own document for a particular Customer, but is never applied against a particular Invoice.

Manage Cash Receipts from here:

Add/Edit Cash Receipt

See fields to be entered to create a Cash Receipt below and in the image.

The following fields are available:

  • Type - Type of cash received: "Charge" "Check" "Wire" "ACH" "Cash".

  • Amount - Total amount received.

  • Description - Short text description

  • Number - Number for the Cash Receipt (not limited by system to be unique).

  • Customer - Customer receiving cash from.

  • Ledger Account - Ledger Account used to receive cash to (alternate side from AR Account when applying Cash Receipt to Invoice). This will be the debit side of a Journal created if you have the "Post Journal" setting enabled.

  • Unapplied Cash Account - Account to post unapplied cash to. This is the credit side in the Journal used if there is a Cash Receipt created that has not been fully applied to an Invoice and if the System Setting "Post Journal on Cash Receipt Creation(Unapplied Cash)" is enabled.

  • Location - Location to post cash to.

  • Currency - Currency of cash received.

  • Receive Date - Date cash was received.

  • Posting Date - Date to post journal entry on creation.

  • Apply To Invoices - Only toggle off if you will NEVER apply this receipt to an Invoice. (Note: to be able to toggle off, you'll need to have the "Post Journal on Cash Receipt Creation" system setting enabled.)

    • The reason for this is that when this setting is off and you create a cash receipt, no journal entry is posted when the CR is created, so if you never plan to apply it to an invoice, there won't be any accounting impact from creating it. When this setting is on, an unapplied cash journal is created when the CR is created/updated.

Individual Cash Receipt Actions

  • Details - Click the Cash Receipt number to view its details.

  • Edit - Update Cash Receipt. Note that you can not edit Cash Receipts when the System Setting: Post Journal on Cash Receipt Creation is Enabled since the Journal Entry associated with the Cash Receipt will be in Posted status.

  • Void - - Void Cash Receipt.

  • Delete - Delete Cash Receipt.

Important Considerations

1. For Cash Receipts in Created status, you can take the following actions with the below conditions when the Post Journal on Cash Receipt is ON:

  1. You can never delete Cash Receipts once created, but you can Void if any of the following are TRUE:

    • No linked payments

    • All linked payments are voided

2. For Cash Receipts in Created status, you can take the following actions with the below conditions when the Post Journal on Cash Receipt is OFF:

  • You can Delete if there are no linked payments

  • You can Void if the Cash Receipt has linked payments, but all of them are voided

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