How to balance and Opening entry against an Invoice

ERPNext Accounting
1

when starting the books in ERPNext there was a customer who had overpaid a little before day 0.
So I created an opening entry (journal entry of Type ‘opening’) which reflect the credit this particular customer has (USD 100).

This shows up correctly in the accounts receivable report, so I believe the Journal entry is logically correct.

Now with one of the next payment my customer will pay USD 100 less which balances out the existing credit and actually creates a nice 0 on the accounts receivable.
The problem I am facing though is that still 2 entries show up in the accounts receivable

#   Voucher Type    Invoiced Amount   Paid Amount  Credit Note  Outstanding
----------------------------------------------------------------------------
1.  Journal Entry            0.--        100.-           0.-       -100.- 
2.  Sales Invoice          500.--        400.-           0.-        100.-
----------------------------------------------------------------------------
                           500.-         500.-           0.-          0.-
----------------------------------------------------------------------------

so, I should have a complete empty Accounts receivable for this customer and therefore need to find a way to link the payment of 400 with the opening entry credit of 100,-, so both of them actually balance each other out.

I tried to add the Journal entry in the Payment Entry REFERENCE list, but the system did not allow this.

Can someone kindly point me into the right direction here?

2

In the awesome bar search, type in “Opening Invoice Creation Tool” and let the tool guide you.:grinning:

3

nope, not what I need. I have the opening balance already as I said.

As the “Opening Invoice creation Tool” only allows transactions in the default currency (which part of my Customers and most of my Suppliers do not use) I have created those with a Journal Entry as described though.

my question is how to balance those Opening Balance against payments/Invoices made later.

4

thus far it seems as if my approach of using journal entries for creating opening balance is not working. As the “Opening Invoice Creation Tool” is not multi-currency ready unfortunately it seems the only workable hack is to create Sales/Purchase Invoices with an item named “Opening Balance”.

In case a Customer has a credit of the time of the account opening the Sales invoice needs to be a credit note/return.

That way it is possible to reference to such an Invoice against a ‘real’ payment entry or other invoice and likewise balance them out against each other.