After you have created
invoices for your clients you can see how much each client owes by looking
at the client's balance in the Customers & Jobs list. Then write a check to
yourself for services and costs from the Client Trust Account bank account.
Generally, an attorney has to obtain client approval before doing this. When
you write a check to yourself out of the Client Trust Account, you also reduce
the amount in the Funds Held in Trust liability account.
Go to the Banking menu and click Write Checks.
Click the Bank Account drop-down list and choose Client Trust Account, or the
subaccount for the specific client if applicable.
Write yourself a check (pay to the order of your law firm).
(Optional) In the check face Memo field, write a description of this
In the detail area of the check, select the Funds Held in Trust liability
account (for Account) and the client and case (for Customer:Job).
This reduces the amount in the Funds Held in Trust liability account.
Click Save & Close.
Go to the Customers menu and click Receive Payments.
Your invoice to the client remains open on QuickBooks' accounts
receivable reports until you receive payment in QuickBooks of the check you
Click the Received From drop-down list and choose the client and case.
In the Amount field, enter the amount of the check.
Select the invoice to which you want to apply the payment.
If the Deposit To field is displayed at the bottom of the form, click
the Deposit To drop-down list and choose your checking account. If your Sales &
Customers preferences are set to "Use Undeposited Funds as a default
deposit to account," you will not see the Deposit To field; your deposit
will instead automatically be added to your Undeposited Funds account and
When you receive your bank statement,
reconcile your trust bank
account(s) in QuickBooks the same way you would any other bank account.
Handling trust accounts