Writing off a final client invoice

You can write off a final invoice in Manage > Client Invoices or Manage > Client Receipts.

When no receipts are applied to the final invoice, you can change the invoice status to Write-off by using Manage > Client Invoices. Changing the invoice status to Write-off creates a credit memo and makes adjusting entries to the Accounts Receivable and Write-off or Billed Revenue accounts. When you write off a final invoice, the WIP is still attached to the invoice with a billable WIP status.

Use Manage > Client Receipts in these situations:

• If the Final client invoice has a cash receipt or credit memo applied to it, you must unapply the receipt or issue a credit memo for the balance of the invoice.
• To write off the invoice in full, you must unapply the receipts.
• To write off only part of a final client invoice, enter a credit memo. If you need documentation for your client, go to the Existing tab in Manage > Client Receipts, select the credit memo, and click the Print button.

To write off a final invoice in Manage > Client Invoices:

1. From the Manage menu, click Client Invoices.
2. For the invoice you want to write off, click the arrow for status and select Write-off. 
3. If you selected the Enter accounting date check box in company preferences, you may be asked to enter an accounting date. Either change or leave the accounting date that Ajera suggests; it is the earliest date allowable.
4. If you select the Reduce project billed amount check box, Ajera reduces revenue billed on financial reports instead of recognizing it as a write off. In reporting for the project, Ajera recognizes it as a write off because the billed and spent amounts are not equal.
5. If you do not select the check box, the financial reports recognize this as a write off and the project reports recognize this amount as billed.
6. Click OK.

See also

Reinstating a written-off final client invoice

About work-in-progress write-off vs. nonbillable

How Ajera validates and assigns dates