How could I mark an invoice as paid?

I tried using the receive money but doesn’t seem to work. Can’t we just have a tick next to the invoice to know that it’s been paid?

Manager is double-entry accounting system. You can’t just “mark” invoice as paid. The purpose of double-entry accounting system is to record each transaction as per accounting equation rules where each debit must equal credit.

What it means is that when you receive money from customer, you basically “credit” the invoice balance. At the same time, you need to “debit” something else. If you received money into bank account, you will “debit” bank account. So in other words, this transaction would increase your bank balance and decrease how much your customer owes you.

OK, that’s accounting theory. Now what you need to do…

The reason why Receive money button doesn’t work, it assumes you have at least 1 bank account or 1 cash account. You need to go to Bank accounts tab or Cash accounts tab and create at least one account which should represent real account into which you are receiving money from customers.

Then try Receive money button again, it will ask you into which account you’ve received money into.

Thanks very much for your help. Your advice worked perfectly.

Hi Lubos

quite often you receive payments for more than one invoice. Is there a way of allocating the payment to multiple invoices in one go?


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waiting for this update

For grouping purchase invoices Lubos said :
"Every purchase invoice is basically a sub-account under Accounts payable liability account.

So when paying one purchase invoice from bank account, you can click Split button to split payment and add as many purchase invoices to be matched against single payment as required."

I would think you do the same but every sales invoice is under accounts receivable.
Click Split button to split customer payment and add as many sales invoices to be matched against single payment as required.


When receive payment from a customer I tried to

  1. Click on any invoice belongs to that customer;
  2. Click “View”
  3. Click “Receive Money” and I’ve got this screen here:

There is no “Split” button. Did I do anything wrong?

It’s the “Add line” button.

You have choose Accounts receivable from Account box then select the additional Invoice/s.

You also need to enter each total of the corresponding invoice/s you wish to include in the transaction in the Amount box.

awesome! thanks a lot.