How to Input a Customer Deposit in Quickbooks

Inputting Customer Deposits in Quickbooks

Quickbooks is a financial software tool created by the makers of Quicken and TurboTax. All three applications automate different functions in the bookkeeping process. Specifically, Quickbooks is the big sister to Quicken and allows small businesses to respond to both external and internal financial reporting requests more efficiently. You can also input and track customer deposits with ease.

Instructions

1. Create an "Other Liability" account for the deposit. Name the account with the name of the customer who made the deposit.

2. Create an "Item" and associate this item with the customer's deposit account.

3. Select "Deposit" in the item drop-down list and the customer's deposit account will automatically be charged. Record the payment in the customer's deposit account.

Tips & Warnings

• For additional tracking and detail on reporting, create a credit memo when the client uses the deposit by selecting "Deposit" in the Item drop-down list.

References

• Intuit: Customer Deposits
• Intuit: How to Set up a Customer Deposit Credit