When you have incurred costs on the project in excess of the deposit or
retainer, you create an invoice and apply the amount of the deposit to the
invoice. The deposit will be subtracted from the amount the client owes you. At
that point, revenue is recorded and the deposit is moved out of the liability
Create an invoice.
At the end of the invoice items, enter the Upfront Deposit or Retainer item
using a Quantity of -1 and a Rate equal to the original deposit amount or the
amount that you are applying. The deposits can be broken down and applied to
Click Save & Close to create the invoice.
deposits and retainers