Custom prepaid on their account. If I use discount it looks as though I gave them free tires.

[Mikestireshop19]

We own a tire shop and we have big accounts like ranches, gas companies etc. Some of them send in more money than they owe us for a credit on the account. I have tried the discount items but that shows that I gave away thousands of dollars and doesn't account for it being a credit in my profit and loss. It looks like a loss. I would think that being a software company that offers accounting solutions to its clients would come up with something so that we would be able to do a pre-paid credit and our books would reflect that. This would look like profit having some sort of way to have pre-paid credits on the account. 

This accounting software is like having kool-aid with no sugar. Did the creators have an accounting background? If not they need to at least know the basics. 

We need to be able to put a credit in. Specially those of us that have large accounts to keep track of everyone in one place. This going to a spreadsheet then coming back to square for credit is non-sense. We pay enough to them they need to start acting like we are their customers and not acting like its a privilege they are here for us.

[Candlestore]

@Mikestireshop19 ;

Square was mainly made to accept Credit Cards as a way to show income.  Square has grown over the years and keeps adding features.  So one day Square may add a Credit account, but as of now Square always recommends getting accounting software along with your business.  Since Square does not have a way to keep track of expenses or liabilities for a business.  Square has added the feature of Vendors and purchase orders which can track some expenses.  

There are a few accounting programs that are online for free depending on your needs and there are also ones that cost money.  These should be able to create income and Credit accounts for you but Square will only show currently when money comes in and invoices for accounts due.  

I am just trying to figure out who or where you saw Square was an Accounting Software company.

[Mikestireshop19]

So let me rephrase what I said. Square is a daily cash and credit card payment center that accounts the daily balance and tells you your percentage of profit you make daily. It also allows you to send customers invoices and it accounts for those payments within the system. So if you have to be technical no its not the typical accounting software but it does account your finances per day. Does that spell it out clearly enough for you?

[Candlestore]

@Mikestireshop19;

yes it does but that is just showing Income to a business which accounting software shows Income and Expenses.  Now as to why Square does not show a credit Balance is unknown to me being a user just like you.  Whenever I have a customer that needs to make payments I make up Invoices in Excel or similar and then on a monthly basis I either email or request a payment for the next payment.  This is why I mentioned the Free accounting software packages.  Create a customer, and show hey overpaid a Bill so you can adjust the next Invoice correctly in your accounting software.  Square was setup to make it easy for Small businesses to do retail sales of Credit Card transactions and Carry the item out of the store.  As times change and Square is growing they Add features and this is one I agree should be added sooner than later.  To do so you may have to explain why you need this and place it on the Ideate Board.  Just look for others who have the same request there.

Here is a Link to the Ideate board :  https://www.sellercommunity.com/t5/Ideate/ct-p/Ideate 

[VanKalkerFarms]

not sure why you're being snarky and mean to other users who are trying to help you.  We are just Square users like you so there is absolutely no need to talk down to Keith who is giving their personal experience and workaround for a feature that isn't in Square.

[Mikestireshop19]

and yes I do have a typical accounting software I use for my business. BUT square should have something to account for credits paid in advance if they offer invoices. Now have I made myself clear enough for you to understand what I'm trying to convey? @Candlestore 

[homeprogreen]

Square doesn’t really have a true accounting component built in so it’s always been tricky to accurately account for credits when you’re receiving payments that are more than what’s currently owed. Couple of work arounds come to mind though. Since you’re using the invoice function then you could create an extra invoice in the system when you receive an overpayment then apply the credit as a payment against that invoice. As an example it would look like this. Company A uses a lot of steering tires so they get an invoice built for 4 steering tires, they pay that invoice and send in an extra 500 bucks so they have a credit due. You mark that invoice #1 as paid in full then create invoice #2 for another 4 tires and apply the credit as a payment against invoice #2 and it sits there in the system until they need something else. Once they need something else then you go into the system and edit invoice #2 to reflect actual items or services and the true prices. Since the credit was already applied as a payment against invoice #2 it’s automatically reflected on that invoice and prevents it from looking like you gave away a bunch of free tires like a discount would. The catch with this method is that when you look at the invoice report it’s going to appear that Company A has an outstanding invoice when they really don’t so someone is going to have to be diligent about making sure it’s reflected in the invoice notes that it’s actually a credit. That’s 1 way. A better way of doing it would be to invoice Company A for 4 tires, receive the payment, if they send in more then the total of the invoice then you would simply issue them an e-gift card for the amount of the credit. Then the next time they get invoiced it’s a simple matter of applying the amount of the e-gift card to the invoice and then accepting payment for the balance owed. This works out very well from an accounting standpoint since it keeps your reports accurate and gives the customer the ability to decide when they use their credit. Any time they send in an overpayment then you just apply the credit to that same gift card by adding to the card balance. Hope this helps