Published October 25, 2021
© fizkes /Adobe Stock
In an ideal world, clients would pay the entire invoice in one go. However, sometimes that just isn't possible. Sometimes you need to add partial payments!
Your invoice may be for a large sum, you may request deposits before starting work, or your clients may request a special payment plan.
Regardless, Invoice Home has you covered. Here is a step-by-step guide on how to add partial payments to your invoices.
Creating a Partial Payment
With Invoice Home, you have a few options for tracking partial payments of your invoices.
If you need the partial payments to appear on your invoices, then you can opt to add them as a line item or add them with our tax option.
If you simply want to track partial payments for your own record keeping, we have that option too.
Here is each option for creating partial payments using Invoice Home.
First Option - Add a Negative Line Item
If your client pays a set deposit, you can add a negative line item directly on the invoice for the amount. The funds will be deducted from the total.
For example, if your invoice is for $10,000 and your client pays a deposit of $1,000 up front, here is how to track that directly on your invoice.
1. Once you have created your invoice, click "Add New Item".
2. In the "Description" field, add "Deposit". In the "Amount" field, add the deposit amount with a minus symbol before the amount. For example "-1000".
The total will be updated accordingly, and the deposit will appear on your invoice as shown above.
Second Option - Add a Negative Tax to Line Items
If you would like to add a partial payment for a percentage of the invoice, and have it displayed below the subtotal, you can use our tax function.
1. Once you have created your invoice, click "Add a Tax" next to the item.
2. Click the "Add New Tax" link at the bottom of the window. Then, fill in the tax name and rate in negative format. For example "-20" for a 20% payment. Click "Save Tax".
3. Click on the tax you just created and saved.
Your tax will be added to the line item.
4. Add the discount for each line item on your invoice.
The total deduction will appear on the invoice under the "Total" field.
Third Option - Add a Partial Payment in the Payment Tab
The last opiton for adding partial payments is to add it directly to the payments tab. This option is best if you do not need the payment to appear on the invoice, but you want it to appear in the reporting section of Invoice Home.
1. Once you have created your invoice, click the "Payments" tab.
2. Click "Set as Paid".
3. Enter the date, partial payment amount in the "Paid Amount" field, and choose the payment method from the dropdown. Then, click the "Save Payment" button.
4. The partial payment will be recorded and the invoice will be marked as partially paid. You can use the reports function, or click on the "Partially Paid" tab to see a list of partially paid invoices and documents.
Note: When the remainder of the invoice is paid, just click on the payments tab again. Then click "Edit Payment". Enter the full amount in the "Paid Amount" field and click the "Save Payment" button. The invoice will then be marked as paid.