1. Intro Sessions (0:00 – 1:09)
2. Accounts Receivable Report (1:10 – 2:56)
3. Record Client Payments (2:57 – 6:23)
4. Finalizing Cash Receipt Journal Entries (6:24 – 8:34)
Entering client receipts has been made easier than ever with our new Record Client Payments process. This process starts with a selection screen of what bills are outstanding, followed by the generation of a cash receipts journal transaction to record the amount of cash received in your bank account.
If you have experience paying vendor invoices using PROCAS, you should be familiar with the touch and feel of the new receipt forms. If not, follow along with the detailed breakdown below.
Recording Client Payments
To access Record Client Payments, go to Accounting –> Accounts Receivable –> Record Client Payments.
If you are using our integrated invoicing process for billing, or are recording revenue transactions manually, this screen will show you what bills need to be collected.
By default, the populated lines will only show outstanding amounts recorded against receivable accounts. If a receivable has already been collected and recorded, it will not appear.
This detailed information will update when you select the “Search” button and can be filtered by Receivable Account, Client, and Task.
Because there is only so much space here for a screenshot, I spliced the above image into the two key sections:
1) Descriptive Journal Information
Most columns in the first half of each row are read-only and provide descriptions for the Client, Payment Method, Account, Task (WBS), Transaction, Transaction Date, Invoice Number, and Invoice Date for each entry recorded in the system.
Select the checkboxes on the furthest left column to process the payments you have received from your client(s).
Tip 1 – You can filter or sort by each column to help find the receivable you are looking to process.
Tip 2 – You can “select all” or “deselect all” checkboxes simultaneously using the checkbox in the header.
2) Payment Amounts
Once you’ve selected the entries to relieve, it’s time to determine how you would like to apply the cash received from your client(s). These columns on the right side of the form are more interactive and are broken down as follows:
Invoice Amt – The original invoiced amount recorded on the sales journal. (Read Only)
Open Amt – The remaining balance open to be received (Read Only).
- This amount is original invoice amount less any payments already received.
Payment Amt – The amount of cash received (Editable).
- Defaults to the Open Amt.
- Should be overwritten if a different amount of cash was received from your client.
Remaining – The remaining balance of the Open Amt less the Payment Amt entered today (Read Only).
- This amount will most often be $0.00.
- If this amount is not $0.00,
- Do nothing, this balance will remain in your AR for your client.
- Proceed to one of the following checkboxes: Write-Off or Reclass.
Write-Off – If selected, the Remaining Amt will be written off to your default write off account.
- Example 1 – If you do not expect to collect the remaining amount, write it off to 9803000U – Bad Debt
- Example 2 – If you collected slightly more than expected, and your client does not expect you to record the difference to unearned revenue, write it off to 49000000 – Other Revenue (Immaterial)
Reclass – If selected, the Remaining Amt will be reclassed to your default reclass account.
- Example 1 – If you received too much cash from your client, reclass to unearned revenue account 2600 – Advances from Customers on Contracts
- Example 2 – If you do not expect to collect the remaining receivable for an unknown amount of time, reclass to 1240 – Accounts Receivable – Doubtful Accounts
Once the Payment Amts have been determined for each payment being received, proceed to the “Next” button in the bottom right-hand corner of the screen.
Once you’ve selected the receivable entries to be relieved, the next step is to process these receipts.
Payment Date will default to today’s date. The Cash, Write-off, and Reclass accounts will auto-fill with your Default Accounts established under Setup –> Account Structure –> Default Accounts. These default accounts should be established before processing receipts.
You may overwrite any of these defaults if needed, and add a Cash Receipt Transaction Description if you’d like a header description to be added to the final journal entry transaction(s).
You also have the option to create one journal entry transaction for the receipts received, or multiple broken out by client, task, or invoice. We recommend creating a receipts journal transaction for each deposit recorded by the bank.
- Example 1 – If checks are received by multiple clients and recorded on one bank deposit slip, then one cash receipts journal transaction should be recorded.
- Example 2 – If payments are received by separate EFT or ACH deposits, then multiple cash receipts transactions should be recorded.
Recording one transaction per bank deposit will simplify the Bank Reconciliation process. Select the “Next” button to proceed to the Transaction Preview screen.
Cash Receipt Journal Preview
The final step in the receipt process is the preview screen to create your entry. This screen displays your total Cash Balance as well as Total Payment Received per bank deposit. You can add descriptions by line item if preferred, or select “Back” if any information looks incorrect.
If everything appears in order, select “Create” to create your Cash Receipts Journal Transaction(s).
Cash Receipts Journal Transaction(s)
Congrats, your cash receipt journal entries have been created in PROCAS! To access them, go to Accounting –> Accounts Receivable –> Cash Receipts Journal. If you need to modify your entries in any way, they can be edited on this screen.
For further assistance using Record Client Payments, you can reach out to us at firstname.lastname@example.org.