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Learn what to do if you can’t collect money from a customer and need to write it off as bad debt in QuickBooks Desktop.
When invoices you ship in QuickBooks Desktop end up collectible, you want to record them as a bad debt and write them off. This guarantees your money owed receivable and internet income stay up-to-date. If you’re the usage of QuickBooks Online, here’s how to write off bad debt in QuickBooks desktop.
Tip: Stay on top of your customers’ open balances with the Accounts Receivable Aging Detail report.
Fellow the Steps to Write off Bad Debt:
Step 1: Add an expense account to track the bad debt-
- Go to the Lists menu and pick out Chart of Accounts.
- Select the Account menu and then New.
- Select Expense, then Continue.
- Enter an Account Name, for example, Bad Debt.
- Select Save and Close.
Step 2: Close out the unpaid invoices-
- Go to the Customers menu and choose Receive Payments.
- Enter the name of the customer within the Received from field.
- For Payment amount, enter $0.00.
- Select Discounts and credits.
- In the Amount of Discount field, enter the amount you need to jot down off.
- For Discount Account, select the account you added in step 1, and select Done.
- Select Save and Close.
Our Support:
Hopefully, this blog has assisted you to learn about write it off as bad debt in QuickBooks Desktop – overview, steps to write off bad debt in QuickBooks. In case you stuck in any of the above-given steps or QuickBooks error don’t hesitate to call QuickBooks technical support number at . The team is present 24/7 available to address all your queries. The team members are professionals to resolve the issue in a single call. There is another method of an email to connect the team. However, you can do a QuickBooks live chat for an instant reply.