Overview:

A credit memo allows you to post a credit against an previously billed job, work order, or maintenance contract AR invoice. Credit Memo's will debit sales and credit accounts receivable. Credit memos can be issued for a number of reasons; see examples below:

• Correct an over billing
• Handle a customer dispute
• Short Shipment of Materials/Wrong Materials Shipped
• Write off customer short payments
• Customer relationships
  
  

The Issue a Credit Memo Against an AR Invoice window is where you can enter credit memos in the system. Prior to posting a credit memo, you must run the Prepare Credit Memos For Printing process, followed by the Complete Credit Memos for Printing process. After posting a credit memo, the credit will be available in the cash receipt window for selection. 

Benefits:

• Quickly post an adjustment to credit a customers AR balance on an invoice
• Track credit memo reason codes to understand why a user issues the credit
• Ability to offset this during the cash receipt process ensuring the AR Aging stays clean

Roles:

• Accounts Receivable Manager

Location:

• Billing & Accounts Receivable > Credit Memos/Reversals > Issue a Credit Memo Against An AR Invoice

Video:

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