The term “Payment” refers to the amount that you expect to receive a payment from a customer or when you pay bill to your vendor. QuickBooks provides a list of regularly used payment terms in the Terms list.

In this article, we will be discussing about the complete process to set up payment terms in QuickBooks Desktop. In case, you need any kind of help from our ProAdvisors, you can contact us at our toll-free QuickBooks Payroll Support Phone Number +1888-396-0208.

Add Payment Terms

You can add payment terms in the QuickBooks Desktop by performing following steps:

  • Open QuickBooks and from the Lists menu, go to Customer & Vendor Profile Lists > Terms List.
  • Select New from the Terms drop-down list
  • Provide a name to the new payment term as per your preference and then select:
    • Standard: If you wish to have a payment due within a particular number of days from the invoice date.
      • For example: Your invoices are due within 25 days of receipt and you give your customers a 1% discount if they pay under 10 days.
    • Date Driven: If you wish to provide a day of the month that you require payment within the due date.
      • For example: Your invoices are due on the 25th day of the month and you give a 1% discount to your customers but if they pay before the 10th of the month. To tell QuickBooks that “25” means the “25th day of the month” and not “25 days after the invoice date”, you need to enter 1% 10 Net 25.
    • Click on OKto close or Next if you want to create another payment terms.
Description Standard Date – Driven
Net Due Provide the number of days in which the customer payments or bills to vendors are pending. Provide the day if the month by which payment is pending.
Due the next month if In case if invoices or bills are issued just before the dur date. If the invoice or bill is  due in between the number of days you have enter then the payment is not pending until the upcoming month.
Discount percentage Provide the discount rate in percentage that a customer earns if he or she pays invoice early or your business earns for early payment of a bill. If there is a discount applied then you need to fill the next field and if not then enter zero.
Discount if paid Enter the number days in which a customer or your business is able to pay or receive a discount for early payment. You need to make sure that you enter the discount percentage in the last field (“Discount percentage”).

Contact Us For QB Support

Hopefully, you find this article helpful and you have a clear idea about the setting up payment terms in QuickBooks. Giving discounts to your customers for paying bills early can be very benefiting for your business as it can give your business the required boost. However, if you want any kind of assistance while setting up payment terms or you are facing any kind of issue then you can contact us at our toll-free QuickBooks Support Phone Number +1888-396-0208 and get your issues resolved.

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How To Set Up Payment Terms In QuickBooks Desktop?

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