I too am taking deposits. It's a clumsy process to track these on the invoices, and it would be much better to have a way of taking a deposit in and posting it to the invoice, and when the work is completed, applying that deposit as a payment to the invoice as a receipt. Perhaps using the Estimate (which I would love a Work Order) that you can apply the deposit to, then when it's ready to invoice, process the invoice with the deposit posting to receipts. AND having the deposits posting to a current liability account for reporting on the financials. I think I have the right process in mind.
So this is kind of what I see: Estimate>Work order>Deposit (posting to liability)>Work Completed - Process Invoice>Deposit applied (changed from liability to asset)>Invoice with balance due>Payment on balance>Invoice Paid and closed.
Maybe someone can check me on this? I think I have the idea right.
Thanks! JD
@patberry said:
I too am wrangling a production company. I sent estimate for $100,000. Once accepted, I converted to an invoice, and added a line item of -50,000 to arrive at the $50,000 deposit amount. I am positive this was the worst possible way of doing this.
I tried that and didn't like how it looked on my books. So I backed out of it. Wasn't sure if it was the way to go. Of course, my amounts weren't as big of an impact as yours, as mine was in the hundreds.
Having this would be awesome for me as well.. I am a DTG Apparel printer, so when an order is placed I get a ½ deposit and the remainder is due on completion. Having an option to create a complete invoice, and then billing 50% for the deposit, then when work is done trigger the remainder invoice to be sent would be awesome!
I awn using workarounds now, but it feels clunky and unintuitive, which is surprising because everything else about Wave seems to be so well thought out. It would also look much more professional to have the deposit listed as paid so the customer knows exactly where they are in the process.
I'm in the same boat as well, unfortunately. Sending 2 invoices is a clunky workaround. The ideal workflow for me, and judging by the feedback here a lot of other people, would be:
-Estimate created, the customer agrees to that estimate
Estimate is converted to an invoice where the total is shown, but the invoice is requesting ½ of the total as a deposit
Deposit is paid and noted in the invoice
When work is complete, the invoice can be re-sent for the final balance (which could still be adjusted after the deposit.. i.e. they decide to add more t-shirts to the total etc.)
I don't know why Wave has not implemented this feature at this point. It seems pretty simple to do from the programming standpoint. I have exactly the same issue as many here, I need to send an invoice with the full amount but only requiring a partial payment of 50% from the customer, leaving a balance to be paid at a later date. The recurring invoice solution is not a solution at all because it's very confusing to the customer. I really like Wave, but this is really something I miss from QB.
@SPS_John Thanks for that! Your flow is a valid one!
There are two different workflows that we need to consider and you mentioned one and the others on the thread have mentioned the other. The differentiation lies in when the income is realized. There are many valid cases for it posting to liability accounts tied to a customer (for retainer based work), or for it being realized right away (using funds to begin work immediately).
I'm a photographer and illustrator and every single job I do requires me to bill a retainer and final payment. I absolutely hate having to create 2 products (retainer & final payment) for each job. It's not fun for me to keep up with either. Also, there should be a way to easily duplicate products within the product section so that creating new products with similar attributes isn't so much of a process.
I ended up here by searching for the same solution. I sell and broker domain names and services and sometimes have situations where the buyer needs to pay in installments.
Same boat here, except, my payment terms has something like 50% deposit, then 30% half way through, then final invoice of 20% remaining. Sometimes I have 4 payment periods(schedules) depending on the total invoice amount.
@patberry said:
I too am wrangling a production company. I sent estimate for $100,000. Once accepted, I converted to an invoice, and added a line item of -50,000 to arrive at the $50,000 deposit amount. I am positive this was the worst possible way of doing this.
I tried that and didn't like how it looked on my books. So I backed out of it. Wasn't sure if it was the way to go. Of course, my amounts weren't as big of an impact as yours, as mine was in the hundreds.
Same here. After I sent, I recreated the invoice for the full amount and did the partial payment. Just a bookkeeping exercise.
I am a music teacher and bill my students once per year, but need to provide payment plans. To throw in my voice to the above conversation, I also would LOVE to see a payment plan feature created.
If I were to bill my student for $1000, I need to have them simply click an option that allows them to:
1) Pay in full ($1000)
2) Pay quarterly ($250 * every 2.5 months)
3) Pay monthly ($100 * 10 months)
I would love to have the ability to put a CC on file (like in the recurring payment), but have them be able to see what the original breakdown is on their invoice, and to enable me to only generate one invoice per student, per year.
To get a better idea of my business, my student's invoice might look like:
Just like in recurring payments, have an auto-generated email that lets the client know when their payment is about to get charged, or if they choose to not put a CC on file, that they have a payment due.
I would like to see a deposit option for an invoice as well.
I manufacture custom items that take approximately four weeks to complete.
I ask for a 50% deposit to begin production, then the balance is due when the order is completed.
It's not feasible for me to send two invoices as I want my customers to see the total quantity ordered and total amount of the invoice all on one form. I would just like the option of having my customer to be able to make a partial payment (deposit) toward that invoice then be able to send that same invoice with the balance due. Preferably I would realize the income when the job is complete and paid in full.
What threprintbazaar mentioned below would be perfect for my needs.
@theprintbazaar said:
I'm in the same boat as well, unfortunately. Sending 2 invoices is a clunky workaround. The ideal workflow for me, and judging by the feedback here a lot of other people, would be:
-Estimate created, the customer agrees to that estimate
Estimate is converted to an invoice where the total is shown, but the invoice is requesting ½ of the total as a deposit
Deposit is paid and noted in the invoice
When work is complete, the invoice can be re-sent for the final balance (which could still be adjusted after the deposit.. i.e. they decide to add more t-shirts to the total etc.)
I too need a function where i can split the same invoice into two separate payments. 50% to begin the project, and 50% when the job is finished. C'mon, Wave!
I just found this thread by searching for the same solution - I run classes where my clients pay per term. I offer payment in instalments for larger bills and currently state my terms in the notes section and use the partial payments option as suggested. This option is preferable for us over the recurring invoice system, as this would become too complicated for both myself and my clients to keep track of which payments relate to the current term.
The main issue that I’m having with this method is that the reminder emails are only connected to the final due date. This has resulted in having to manually check who has instalments due and when and sending out a separate email to remind clients that their first instalment payments are due. Using Wave to send this reminder doesn’t really supply the required information for the client as it only shows them the total amount due and the final due date.
Adding an option to pay in instalments and the ability to specify separate due dates would be a really wonderful addition for us! We will continue to use Wave for now as we otherwise love the system but as we continue to take on more clients this slight flaw could become very time consuming for us to keep track of and we may have to look elsewhere for our invoicing solutions.
In the meantime @jacko could you send an invoice with payment due terms as the end of project but a deposit item on the Invoice with a due date different from the invoice's payment terms as the description? Adding a note may also provide more clarity. I know this isn't the most elegant solution but it would at least keep it on one invoice.
Same here Wave. Love the solution but this causes a lot of confusion for the customer. I do BBQ Catering. www.offthehoof-bbq.com (shamless slef promotion there!) We charge:
-$100 deposit today
-50% of the remaining balance 30 days prior to the event
-balance due the day of
Would be nice for the software to calculate an accurate balance due, due date, amount recieved, etc.
We could really use a deposit amount field at the bottom of the invoice, after the Total amount since we too ask for a 50% deposit before any work is done. It's caused much confusion with AP departments of our larger clients because they don't always read the footer, or invoices are forwarded within companies without original attached email instructions. I see that Freshbooks and other invoice apps have this field, however, I prefer to stay with Wave. Please consider adding this option:) thanks
Just to add. I too run a custom business for shoes.
We accept a standard deposit of $150 and the balance would be upon completion and collection of our customer's shoes.
When we invoice the customers using wave, it goes straight to income/revenue but by accounting terms, it should not be that way. This is because the revenue can only be recognized upon delivery of the product.
How do i still invoice my customers without Wave realizing the invoice as revenue and leaves an option for me to convert it to revenue upon delivery of the product.
Also, how do i record the deposit as "customer prepayment"as a current liability and then reversing it to revenue upon delivery.
Although it doesn't necessarily record the pre-payment as a liability, this guide will show you how to account for pre-payments on your invoices. Essentially, instead of moving it into (and then out of) a liability account, you'll set up a custom holding account for the payment. Hope that helps!
Awesome product. Same issues as above.
We run a tuition institution. We ask a yearly fee, payable over 12 months.
It would be great if we can invoice once in the beginning of the year and then send a monthly STATEMENT showing
1. ) only the current month's installment as ** currently due**.
2. ) the total outstanding.
One of our promises to our clients are affordable payment plans over a period of time. These schedules change and can include anywhere between 2 weeks between installments and 4 weeks. We would love to utilize a system where we can create payment plans and tailor the dates for our guests. At this time, we send reminders before each installment as our current invoicing system does not do automatic payments, but autopay could also be a handy feature although totally not required. This feature currently is a make-or-break for our business, and I want to cancel our current invoicing system once this goes live on Wave.
It would work for me if I could at least enter an item such as “Payment received” then a negative number, thereby reflecting the payment amount. Seems simple enough, but I’m no programmer. Hopefully, it’s already in the app and I have overlooked it.
My company does a 20-50-25-5% payment schedule and right now as a new Wave user I can't figure out how to make this happen. Ideally I'd like to have one invoice with different custom payment dates that shows the running balance. So when a payment is made, the balance gets lower. Then I could re-send the invoice every time a payment is due. That would be so great.
Hi @TheatreJuice@CAScreator, at this time, our recurring invoices can only send a single invoice template using a regular schedule. For example, an invoice can be sent out asking for $20 payments every month.
What it can't do, for now, is have flexible payment terms (e.g. varying payment amounts over time, changing payment dates). While this currently can't be done in Wave, it is certainly a great idea -- I will bring this up to the team as a feature request on your behalf! Thank you for the feedback!
Thank you to all who have contributed their feedback and experiences -- while this has not been worked on yet, I can assure you that we have heard the call. Like mentioned, I can't make any promises, but I will keep bringing this up on your behalf to see if our teams can come up with a satisfactory implementation in the future.
@xraycars1_ you are actually able to enter an invoice item with a negative amount! Simply add an invoice item and edit the "Amount" box. Please let us know if anything is preventing you from doing so.
DonovanLeow's issue is very common among many business and the solution is as common as well.
By any accounting standard, WaveApps recommendation as noted by Ryan_W in "the guide" is grossly incorrect. Apparently, it's not accountants administrating this site.
Comments
I too am taking deposits. It's a clumsy process to track these on the invoices, and it would be much better to have a way of taking a deposit in and posting it to the invoice, and when the work is completed, applying that deposit as a payment to the invoice as a receipt. Perhaps using the Estimate (which I would love a Work Order) that you can apply the deposit to, then when it's ready to invoice, process the invoice with the deposit posting to receipts. AND having the deposits posting to a current liability account for reporting on the financials. I think I have the right process in mind.
So this is kind of what I see: Estimate>Work order>Deposit (posting to liability)>Work Completed - Process Invoice>Deposit applied (changed from liability to asset)>Invoice with balance due>Payment on balance>Invoice Paid and closed.
Maybe someone can check me on this? I think I have the idea right.
Thanks! JD
I tried that and didn't like how it looked on my books. So I backed out of it. Wasn't sure if it was the way to go. Of course, my amounts weren't as big of an impact as yours, as mine was in the hundreds.
+1
To the developers:
Example: total invoice $1040, split in 3 payments 345,345,350
Due Date: [3 months from now (Oct. 14th, 2018)] Jan. 14th, 2019
Checkbox: Allow partial payments?
Once checked;
Dropdown select numbered 1-10? [3 selected]
[3 rows generated]
[row 1]
Amount: 345
Due by: Nov. 14th, 2018
[row 2]
Amount: 345
Due by: Dec. 14th, 2018
[row 3 - final payment]
Amount: 350
Due by: Jan. 14th, 2019
3 row amount total MUST equal invoice total.
Then allow customer to track their progress and make payments as they see fit.
Having this would be awesome for me as well.. I am a DTG Apparel printer, so when an order is placed I get a ½ deposit and the remainder is due on completion. Having an option to create a complete invoice, and then billing 50% for the deposit, then when work is done trigger the remainder invoice to be sent would be awesome!
I awn using workarounds now, but it feels clunky and unintuitive, which is surprising because everything else about Wave seems to be so well thought out. It would also look much more professional to have the deposit listed as paid so the customer knows exactly where they are in the process.
Hopefully we'll see something like that soon.
I'm in the same boat as well, unfortunately. Sending 2 invoices is a clunky workaround. The ideal workflow for me, and judging by the feedback here a lot of other people, would be:
-Estimate created, the customer agrees to that estimate
This would make my life SO much easier!
I don't know why Wave has not implemented this feature at this point. It seems pretty simple to do from the programming standpoint. I have exactly the same issue as many here, I need to send an invoice with the full amount but only requiring a partial payment of 50% from the customer, leaving a balance to be paid at a later date. The recurring invoice solution is not a solution at all because it's very confusing to the customer. I really like Wave, but this is really something I miss from QB.
@SPS_John Thanks for that! Your flow is a valid one!
There are two different workflows that we need to consider and you mentioned one and the others on the thread have mentioned the other. The differentiation lies in when the income is realized. There are many valid cases for it posting to liability accounts tied to a customer (for retainer based work), or for it being realized right away (using funds to begin work immediately).
I'm a photographer and illustrator and every single job I do requires me to bill a retainer and final payment. I absolutely hate having to create 2 products (retainer & final payment) for each job. It's not fun for me to keep up with either. Also, there should be a way to easily duplicate products within the product section so that creating new products with similar attributes isn't so much of a process.
Would love a better solution
Same boat here, except, my payment terms has something like 50% deposit, then 30% half way through, then final invoice of 20% remaining. Sometimes I have 4 payment periods(schedules) depending on the total invoice amount.
Same here. After I sent, I recreated the invoice for the full amount and did the partial payment. Just a bookkeeping exercise.
I am a music teacher and bill my students once per year, but need to provide payment plans. To throw in my voice to the above conversation, I also would LOVE to see a payment plan feature created.
If I were to bill my student for $1000, I need to have them simply click an option that allows them to:
1) Pay in full ($1000)
2) Pay quarterly ($250 * every 2.5 months)
3) Pay monthly ($100 * 10 months)
I would love to have the ability to put a CC on file (like in the recurring payment), but have them be able to see what the original breakdown is on their invoice, and to enable me to only generate one invoice per student, per year.
To get a better idea of my business, my student's invoice might look like:
1) Private instruction--$700
2) Group class--$200
3) Recital Fee--$100
Total: $1000
Just like in recurring payments, have an auto-generated email that lets the client know when their payment is about to get charged, or if they choose to not put a CC on file, that they have a payment due.
It would be awesome to see a solution to this!!
I would like to see a deposit option for an invoice as well.
I manufacture custom items that take approximately four weeks to complete.
I ask for a 50% deposit to begin production, then the balance is due when the order is completed.
It's not feasible for me to send two invoices as I want my customers to see the total quantity ordered and total amount of the invoice all on one form. I would just like the option of having my customer to be able to make a partial payment (deposit) toward that invoice then be able to send that same invoice with the balance due. Preferably I would realize the income when the job is complete and paid in full.
What threprintbazaar mentioned below would be perfect for my needs.
I too need a function where i can split the same invoice into two separate payments. 50% to begin the project, and 50% when the job is finished. C'mon, Wave!
We really appreciate the context!
The main issue that I’m having with this method is that the reminder emails are only connected to the final due date. This has resulted in having to manually check who has instalments due and when and sending out a separate email to remind clients that their first instalment payments are due. Using Wave to send this reminder doesn’t really supply the required information for the client as it only shows them the total amount due and the final due date.
Adding an option to pay in instalments and the ability to specify separate due dates would be a really wonderful addition for us! We will continue to use Wave for now as we otherwise love the system but as we continue to take on more clients this slight flaw could become very time consuming for us to keep track of and we may have to look elsewhere for our invoicing solutions.
In the meantime @jacko could you send an invoice with payment due terms as the end of project but a deposit item on the Invoice with a due date different from the invoice's payment terms as the description? Adding a note may also provide more clarity. I know this isn't the most elegant solution but it would at least keep it on one invoice.
Same here Wave. Love the solution but this causes a lot of confusion for the customer. I do BBQ Catering. www.offthehoof-bbq.com (shamless slef promotion there!) We charge:
-$100 deposit today
-50% of the remaining balance 30 days prior to the event
-balance due the day of
Would be nice for the software to calculate an accurate balance due, due date, amount recieved, etc.
We could really use a deposit amount field at the bottom of the invoice, after the Total amount since we too ask for a 50% deposit before any work is done. It's caused much confusion with AP departments of our larger clients because they don't always read the footer, or invoices are forwarded within companies without original attached email instructions. I see that Freshbooks and other invoice apps have this field, however, I prefer to stay with Wave. Please consider adding this option:) thanks
Hi Wave we need this too.
We run a cold storage facility. Produce is stored for more than 6 months. We bill in three instalments.
Clients want to see clearly
Thanks
HI,
Just to add. I too run a custom business for shoes.
We accept a standard deposit of $150 and the balance would be upon completion and collection of our customer's shoes.
When we invoice the customers using wave, it goes straight to income/revenue but by accounting terms, it should not be that way. This is because the revenue can only be recognized upon delivery of the product.
How do i still invoice my customers without Wave realizing the invoice as revenue and leaves an option for me to convert it to revenue upon delivery of the product.
Also, how do i record the deposit as "customer prepayment"as a current liability and then reversing it to revenue upon delivery.
Any help would be much appreciated!
Hey @DonovanLeow,
Although it doesn't necessarily record the pre-payment as a liability, this guide will show you how to account for pre-payments on your invoices. Essentially, instead of moving it into (and then out of) a liability account, you'll set up a custom holding account for the payment. Hope that helps!
Awesome product. Same issues as above.
We run a tuition institution. We ask a yearly fee, payable over 12 months.
It would be great if we can invoice once in the beginning of the year and then send a monthly STATEMENT showing
1. ) only the current month's installment as ** currently due**.
2. ) the total outstanding.
One of our promises to our clients are affordable payment plans over a period of time. These schedules change and can include anywhere between 2 weeks between installments and 4 weeks. We would love to utilize a system where we can create payment plans and tailor the dates for our guests. At this time, we send reminders before each installment as our current invoicing system does not do automatic payments, but autopay could also be a handy feature although totally not required. This feature currently is a make-or-break for our business, and I want to cancel our current invoicing system once this goes live on Wave.
My company does a 20-50-25-5% payment schedule and right now as a new Wave user I can't figure out how to make this happen. Ideally I'd like to have one invoice with different custom payment dates that shows the running balance. So when a payment is made, the balance gets lower. Then I could re-send the invoice every time a payment is due. That would be so great.
Hi @TheatreJuice @CAScreator, at this time, our recurring invoices can only send a single invoice template using a regular schedule. For example, an invoice can be sent out asking for $20 payments every month.
What it can't do, for now, is have flexible payment terms (e.g. varying payment amounts over time, changing payment dates). While this currently can't be done in Wave, it is certainly a great idea -- I will bring this up to the team as a feature request on your behalf! Thank you for the feedback!
Thank you to all who have contributed their feedback and experiences -- while this has not been worked on yet, I can assure you that we have heard the call. Like mentioned, I can't make any promises, but I will keep bringing this up on your behalf to see if our teams can come up with a satisfactory implementation in the future.
@xraycars1_ you are actually able to enter an invoice item with a negative amount! Simply add an invoice item and edit the "Amount" box. Please let us know if anything is preventing you from doing so.
Hola,
DonovanLeow's issue is very common among many business and the solution is as common as well.
By any accounting standard, WaveApps recommendation as noted by Ryan_W in "the guide" is grossly incorrect. Apparently, it's not accountants administrating this site.
Thanks for your feedback @Raedioactiveman, we'll continue to investigate different features that we could provide here to better suit this workflow.