MoneyWorks

A Note on Deposits

When you record a deposit on an order, MoneyWorks creates the appropriate receipt or invoice (for a sales order) or payment (for a purchase order), and also accumulates the deposit amount in the order itself.

When the goods are shipped/received, an additional line is added to the resultant invoice to reduce it by the deposit amount. Because orders are inherently “product” based, all transactions involving such deposits must use a “Deposit” product—you need to specify this the first time you make a deposit.

• You can have different Deposit products for deposits you receive and deposits you make (or you can just use the one);
• For deposits on Sales Orders, the Deposit product is one that you sell. In the Income account when selling field of the product, you should specify a current liability account (such as Deposits Held);
• For deposits on Purchase Orders, you must buy the Deposit product. Use a current asset account (such as Deposits Paid) for the Cost-of-goods Expense Account;
• Do not stock the deposit product;
• Multiple deposits can be made on an order (just open the order and set the Process Order pop-up to Pay deposit for order). If the additional deposit is for a negative amount, the accumulated deposit is effectively reduced.
• If you need to cancel the deposit you must put through a new negative deposit, as the deposit amount is stored on the order. Cancelling the deposit transaction will not clear this.
• You cannot delete an order that has a deposit balance.