PCR independent school management solution and website
Customer Portal
School Portal
Request Demo
SOLUTION
FAQ
PRICING
EMPLOYMENT
BLOG
SUPPORT
KNOWLEDGE BASE
Admissions
CMS Website
Community Connect
Finance & Student Billing
Fundraising / Development
Student Information
Cafeteria POS
Summer Camp & School
301-947-7380
sales@pcreducator.com
School Information Management System & Website Software
Blog
Refunding Customer Payment Shortcut
Refunding Customer Payment Shortcut
If you do not need to print a check to the customer for the refund, then you can use this shortcut instead of the full Refunding Customer process.
Example
: You refund back to the customer's credit card or bank account through a payment processor.
1. Recording Customer Credit to acknowledge a credit balance.
- This Customer Credit credits AR and Debit “Refund Allowance”
Note
: “Refund Allowance” is a contra revenue account.
Note
: Whether you specify the original Revenue account of the Refund Allowance account is based on your accounting practices.
- This Credit is used to establish a balance to refund.
Note
: If you already have a Customer Receipt with the unallocated amount to refund, then do not create a separate Credit.
Note
: Voiding an invoice reverses both AR and Revenue for the invoice, and any associated receipts become unallocated. In this case, do not create a separate credit.
2. Recording Refund Customer Invoice to offset the credit balance
- The Customer Invoice debits AR and Credit Cash
3. Allocating Customer Credit from step 1 to Refund Customer Invoice from step 2.
In this case, there are no changes to Accounts Payable, and you do not reference the “Refunds Payable” liability account.
Cash
AR
Revenue
Initial Customer Invoice
+AR
+Revenue
Initial Customer Receipt
+Cash
-AR
Refund - Customer Credit
-AR
-Revenue (or Refund Allowance)
Refund - Customer Invoice
-Cash
+AR
Total
0
0
0
See also
Fund
PCR Educator K-12 School Information System is an online database engineered for independent and private schools to deliver the highest level of flexibility, unique experience, transparent communication and customized design. Being a complete cloud-based solution, PCR Educator system guarantees convenient access anytime, anywhere.
Facebook
Linkedin
301-947-7380
sales@pcreducator.com
Schedule Demo
Please, make sure that all required fields (marked with *) are completed.
School Name
*
Relation to School
*
select
Administration - Database Manager
Administration - Head of School
Administration - Registrar
Development - Director of Development
Finance - CFO
Finance - Business Manager
IT - Director of Technology
Other - Parent
Other - Staff
Other - Volunteer
Last Name
*
Your First Name
*
Your Email
*
Your Phone #
*
Household
User