This article lists common tasks that are not part of your typical AP workflow. It also provides recommended troubleshooting steps for unexpected results and common issues you may encounter when recording AP transactions in QuickBooks.
Scenario: Instead of paying your bill with the usual bank or credit account, you want to pay it using a line of credit or liability accounts.
If your line of credit is setup as a Credit Card account:
If your line of credit is setup as Other Current Liability or Long Term Liability account.
Quick Tip: You may want to change your liability account to a credit card account if you have the ability to charge purchases directly to the line of credit and/or your financial institution allows downloading transactions from your line of credit.
Scenario: You wrote a bill payment check for a vendor and the check was returned for non-sufficient funds (NSF). The vendor asked for a full payment plus overdraft fee.
Quick Tip: You need to create a reversing journal entry, unlink the bill payment and relink it to the bill then create a new bill payment check.
Scenario: You owe Leonardo DiCaprio $200 for raw materials. Leo is also your customer and he owes you $150 for services you rendered. How will you record your payment you need to apply to his customer balance.
Step 1: Write a check to pay the vendor.
Step 2: Apply the credit to the customer outstanding balance.
Scenario: You paid for a business expense using your personal funds. You plan to have this reimbursed from the company later.
Quick Tip: You need to create a journal entry and apply it to the bill as a credit then pay yourself using the company checking or credit card account.
Scenario: You are sure that you have sent a check to Vendor A for payment of the goods they delivered. QuickBooks, however, shows an outstanding balance for them.
Possible reason: You entered a bill and you wrote a regular check instead of a bill payment check to pay Vendor A.
Quick Tip: Always use the pay bills option. DO NOT write checks to pay bills entered in QuickBooks.
Scenario: You created a bill and you remember clearly that you went to the Pay Bills window, select that particular bill and mark it for payment. However, they still show in your Pay Bills window as unpaid and they also appear in your Unpaid Bills Detail Report.
Possible reason: The bill may have really not been paid or the transaction has become damaged.
Scenario: You view a bill payment check and it doesn’t have checks on its stub to show which bills it originally paid. You cannot also view its history.
Quick Tip: You need to recreate the link between the bills and the bill payment check.
Scenario: You pay a $200 bill from a vendor with a bill payment check for $300. The bill payment check/stub or voucher shows the original amount of the bill and the check amount but not the $100 overpayment.
Quick Tip: Overpayment does not really show on the bill payment stub. You can change the check amount to the actual amount of the bill or you can enter a brief note/explanation in the Memo field.
Note: When you print the check, any information you entered in the Memo field appears on the check itself and the voucher section of the check stub (if you use voucher-style checks). The information, however will not appear on a bill payment stub.
Scenario: You entered a bill in QuickBooks for a specific vendor. The vendor asks you for a printed bill payment addressed to a different name.
Quick Tip: You need to edit the vendor information prior to printing the bill payment check.
Scenario: You entered a bill or bill payment check that you need to delete later.
Quick Tip: Note that voiding transactions is different from deleting them.
Consider the following before you decide to delete or void a bill/bill payment check:
To void a bill/bill payment check:
To delete a bill/bill payment check:
To void or delete multiple bills/bill payment checks:
QuickBooks allows you to print bill payment stubs which you can send to your vendors as proof of payment. Bill Payment stub contains information such as the bill payment date, check number, check amount and the bill(s) associated with it.
Scenario: QuickBooks shows an available credit for Vendor C when there should be none.
Possible reason: You recorded a vendor credit after you received a refund check from a vendor.
Quick Tip: For expenses paid then refunded through check, creating a vendor credit will not be the best option. Instead, simply record a deposit against the expense account that you used when you wrote the check. This way, it won't create any credit and will also offset the expense incurred.
Scenario: There is a credit balance showing for a vendor in the Vendor Center and on the Accounts Payable account. The credit cannot be deleted or applied to a bill but needs to be cleared from the accounts payable account.
Quick Tip: You need to create a journal entry for the vendor to remove the credit from Accounts Payable and apply the entry to the vendor credit.
Scenario: You have a bill credit applied incorrectly. You want to reapply it to the correct bill without deleting and reentering the bill.
Quick Tip: Setup a QuickAdd vendor to remove and re-apply the credit.
Scenario: You have purchased inventory items and recorded the purchase with a Bill or a Credit Card Charge. Your vendor notifies you that they charged you the incorrect cost.
Scenario: You get the error “You cannot use more than one A/R or A/P account in the same transaction” while creating a bill.
Possible reason: You've used Accounts Payable account or an item linked to an A/P account.
Quick Tip: When you enter a bill, your A/P automatically increases. QuickBooks will not let you use another A/P account.