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Cash Applications

Cash application is the process of matching customer payments to invoices, crucial for optimizing cash flow and improving financial management. The document outlines a cash application process using QuickBase, detailing steps for managing payments through dual bank accounts. It emphasizes the importance of accurate payment recording and provides tips for efficient payment management and reconciliation.

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rahul.sharma
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7 views

Cash Applications

Cash application is the process of matching customer payments to invoices, crucial for optimizing cash flow and improving financial management. The document outlines a cash application process using QuickBase, detailing steps for managing payments through dual bank accounts. It emphasizes the importance of accurate payment recording and provides tips for efficient payment management and reconciliation.

Uploaded by

rahul.sharma
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Cash Application

Cash application is the process of matching incoming payments from customers to their corresponding
invoices. It ensures accurate and timely recording of transactions, improves cash flow management, and
provides real-time visibility into receivables

by Rahul Sharma
Importance of Cash
Application in Business
Operations
An efficient cash application process is crucial for businesses, as it plays a
vital role in optimizing cash flow, minimizing manual errors, and improving
overall financial management. By ensuring the timely and accurate
allocation of payments, businesses can provide exceptional customer
service and maintain strong financial health.
Cash Application Process in QuickBase

Payment Management with Dual Bank Accounts

Our unique system utilizes two distinct bank accounts to streamline payment processes. With
this setup, we can efficiently handle various payment methods, ensuring a smooth experience
for our clients and partners.

It is the primary bank account as Secondary bank account as there are


mostly customers are sending some old customers who use this
payments to this Bank. bank for sending payments.

Link to Access Account : V


​ alley National Bank​ Link to Access Account : Bank of America

1. Click on the account link and enter the credentials to access the online banking. Once reach on
Homepage, Click on the Checking Account 7300 (Highlighted in below Image)

2. On Reporting page, Click on the Search Completed Transactions and update the date range and
select All Credits on transactions type box and click search.

( In above image, selected the date range from 11/13 to 11/14 and selected type as All Credits)

3. Now we will be able to see all credit transactions deposited from date 11/13 to 11/14.

4. For 11/13, We have an ACH Credit from Insight of $900.00 (See Transaction Narration). Now we
will record this payment in our Books i.e. QuickBase.

5. To record the payment from Insight of $900.00, Click on the Customers from left Panel Bar then
enter the customer name on customer filter then click the magnifying search button. You will now
have the all the items details for the customer.

Either Search for the invoice with same amount we received or check the banking transaction
narration or remittance advice received from customer and select the invoice.

(The invoice highlighted in green is the correct one as it also has the same due amount)

6. Double click on the invoice and then click on the receive payments option (Shown in Image 1)
Once the customer payment page opens, Enter the Payment details i.e. (Shown in Image 2)
# Payment Amount : 900
# Date (When the funds deposited in Bank) : 11/13/2023
# Reference (Description of Payment) : ACH or Check number

# Select the Payment mode from the box (highlighted in green) : ACH or e-check if received funds
via checks in lockbox

# AR Account (Highlighted in Orange) : 12100 - Accounts Receivable - Trade USD

Once All the information updated, Select the invoice line and click save and close from the bottom.

Note:
a) Invoices generated in USD will have AR Account - 12100 (Trade USD)
b) Marketing Invoices will have AR Account - 12200 (Marketing)
c) Invoices generated in CAD will have AR Account - 12300 (Trade CAD)

7. Now we need to deposit the recorded payment on the bank ledger account in QuickBase.

1. Click on the Banking and select make a deposit and select the payment which was recorded.

2. Then select the Bank Account/Ledger where the funds were credited

3. Select the date of Payment Credit and then click save and close

Don't Forget: Vital Points to Keep in Mind!

1 Master your payment management:

Optimize ACH/Wire Payment process by depositing funds in QuickBase on a per-transaction basis. This ensures clear
visibility and accuracy, matching the transactions you see on Online Banking.

2 Simplify your payment processing:

Combine multiple e-check payments received via lockbox into a single deposit after recording funds.

It will help in Streamline payment reconciliation by effortlessly matching deposited payments


with banking Transactions.

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