Add Credit Memos

Credit memos reduce invoice balances. As a best practice, enter accurate distributions, monitor posting, and document changes to ensure correct general ledger impact and a clean audit trail.

1. From Payables, Credit memos, select New.

2. Enter general info including vendor, date, amount, number, description, and distribution details.

   Tip: To add a credit memo directly from a vendor record, select Add, Credit memo under Activity (or from the action bar). You can also search for and view existing credit memos. When adding from a vendor record, you can't change the vendor.

3. Apply the credit memo to any open invoices associated with the vendor. A complete list of open invoices displays under Open invoices. To apply the credit, select Apply next to the invoice and enter the credit amount and post date.

4. For 1099 vendors, enter 1099 details including the box number, state, and amount info.

5. Add custom fields, notes, and attachments as necessary.

6. Select Save.