My Employer has written a cheque as a retainer for the lawyers. What is the correct method to enter this retainer as I have not received the bill yet?
1. Create Cheque for retainer amount – Suppliers -Cheque
2. Make sure the Account is to Accounts Payable.
3. Enter ‘Retainer’ in the Description area.
4. Retainer payment sits as a credit. * CLICK ON IMAGES TO VIEW FULL SIZE
5. Once you receive the bill, enter the bill normally.
6. When you go to pay the bill – Make A Payment – you will see a credit pertaining to this Supplier which is the retainer.
7. QB will apply the credit when you pay the bill.