Receipts in Peach Tree Accounting Software

How To Enter Receipts

Peachtree refers to the money we receive from our customers as receipts. Peachtree’s Receipts feature allows us to enter all checks, cash, and credit card slips we receive and deposit them in our checking account. Peachtree provides two ways to account for receipts. The method we use is mostly determined by timing. One method is used when we receive the customer’s money at the time of the sale. We enter the receipt right on the invoice and when we print the invoice, it can also show the funds received. The other and most commonly used method is to apply the receipt to an invoice through the Receipts window. We can use this method either if the customer pays we at the time of the sale or at a later date.

1) In order to record the Receipts of a company the first step is to open an existing company in Peachtree software, as the company is opened the following screen appears in the software.

We then click on the Tasks button which is in the above Bar of the software and click on the Task bar menu the following dropdown list will appear after doing so

From the Tasks menu we click on the 3^rd option of the drop down list and by clicking it sometimes the following screen appears

By clicking on the OK button the Main Receipts screen will be appeared in our software and the screen is mentioned as follows

Notice the similarities between the Receipts window and the Payments window. There are a few differences including the addition of the Deposit ticket ID and Payment Method fields. The Check Number field in Payments is replaced by a Reference field in Receipts.

2) In the Second Step we enter the Deposit Ticket ID field. The cursor is in the Deposit ticket ID field. This field defaults to today’s date and is used to combine receipts for fast account reconciliation with bank statements. If we leave the deposit ticket IDs blank, Peachtree can automatically suggest deposit ticket IDs in the Select for Deposit window. If we want this transaction to be reconciled as a separate item, enter a unique deposit ticket ID.

3) Then in the Third Step we select the customer or vendor ID from the drop down list as shown below

We have the option of entering a receipt from a customer or a vendor. Usually receipts come from customers. However, we might receive a refund check from a vendor this customer has unpaid invoices, Peachtree lists them on the Apply to Invoices. If the customer has no outstanding balance, Peachtree displays the Apply to Revenues, If the customer has no outstanding balance, Peachtree displays the Apply to Revenues tab. Double-click any unpaid invoice to see the transaction details. We can enter the Customer or Vendor ID which we have created before by clicking the Magnifier Glass Button and select it. The Customer or Vendor ID will be shown in the peachtree software as follows

4) Enter a Reference number that helps identify the receipt. We must enter a Reference number, usually the customer’s check number.

5) Enter the Date of the receipt. Use this field to record the date we received the check, not the date on the check.

6) Select a Payment Method: Cash, Check, Charge, and so on. Select Check from the Payment Method drop-down list Customer Defaults dialog box. We can run some reports based on payment methods. If the customer is paying by credit card, we can store the credit card information or use Peachtree’s service to process the credit card.

7) In the Cash Account list, verify the bank account into which we’re depositing the receipt. Always confirm the cash account. Peachtree remembers which account we last used in this window.

8) Place a check mark in the Pay column beside each invoice being paid by this receipt. If the amount of the receipt doesn’t match the invoice amount, enter the actual amount received in the Amount Paid column. Below the Cash Account field is the current balance (as of the check date). If question marks display, select the Recalculate (Recalc) button to display the current balance. This displayed balance will not change until we select the Recalculate button again. At this point, we can select invoices to pay. Optionally, we can enter a receipt against a sales income account. When we select the Apply to Sales tab, the outstanding invoices for this customer will temporarily disappear, and the columns in the distribution area will be different (similar to the sales invoice). We are going to apply this receipt against an invoice. If, based on the customer terms, the invoice is eligible for a discount; Peachtree automatically displays the discount amount. We can accept that amount, delete it, or enter a different amount. If we have discounts, verify the discount account number at the bottom of the window.

If the amount paid is less than the amount due, Peachtree assumes that the customer still owes the difference. The next time we open the Receipts window for the customer, Peachtree displays the remainder due on the invoice. If the amount paid is less than the amount due and we’re going to write off the difference, enter the full amount of the invoice in the amount box and then click the Apply to Revenues tab and enter a negative amount for the amount we’re writing off. Choose the write-off account for the G/L account. This process clears the invoice from A/R, posts the correct amount to cash, and charges the unpaid balance on the invoice to the write-off account. If you do not see a box to select the G/L account, it means the boxes are hidden. We can click the Journal button at the top of the window and enter the account numbers we want to use.

9) There are two options in the Apply Bar the first is of the Apply to Invoices and the second is of Apply to Revenues and these are shown in the following screen

If the amount paid is more than the invoice amount, Peachtree automatically creates a credit balance against the specified invoice. The next time we display the Receipts window for this customer, we see a credit balance. If we’re going to absorb the overpayment, click the invoice as paid in full and then click the Apply to Revenues tab and enter the overpayment amount as a positive number.

If we make a direct sale that doesn’t require an invoice, click the Apply to Revenues tab and specify a sales account and an amount. The amount Peachtree displays in the Receipt Amount box should match the total amount received from our customer.

10) Enter Quality, Item, Description, Unit Price, Tax Number, Amount and Job and then Click Save to record the receipt or click Print to print a receipt that you can give to your customer. Printing the receipt also saves the receipt. This is how we maintain the Receipts in the peach tree software.