Request and Manage Deposits with Square Invoices
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With Square Invoices, you can request payment for a part of your invoice upfront as a deposit, and set a separate due date for the remaining balance. With these deposits, you can create a single invoice to track multiple payments and reduce the amount of time you have to spend reconciling multiple payments.
Request Deposits with Square Invoices
- Go to Payments > Invoices, and select Send an invoice.
- Select a customer from your Customer Directory, or enter a new name and email address.
- Under Line items, add items from your library. You can then select Customise to apply modifiers, notes, taxes and discounts.
- Select Add payment schedule, and toggle Request deposit to ON. Enter the amount or percentage, select a due date, and select Save. Deposits can be requested with a fixed dollar amount or as a percentage of the invoice total.
- Select Send.
Once your customer receives the invoice, they can pay the deposit first, then the remaining balance.
Important to note:
- You can request a deposit and partial payment per order total. The ability to split specific items for partial payments is unavailable at this time.
- If you use Square to track your inventory, your items will only adjust when the entire invoice is paid. Paying the deposit won’t change the item counts.
- Go to More > Invoices, and select +.
- Select a customer from your Customer Directory, or select Create Customer to add new customer details.
- Under Line items, enter a custom amount or add items from your library. You can then apply modifiers, notes, taxes and discounts.
- Select Add payment schedule, and toggle Request initial deposit to ON. Enter the amount or percentage, select a due date, and select Save. Deposits can be requested with a fixed dollar amount or as a percentage of the invoice total.
- Select Send.
- Go to Invoices, and select +.
- Select a customer from your Customer Directory, or select Create Customer to add new customer details.
- Under Line items, enter a custom amount or add items from your library. You can then apply modifiers, notes, taxes and discounts.
- Select Add payment schedule, and toggle Request initial deposit to ON. Enter the amount or percentage, select a due date, and select Save. Deposits can be requested with a fixed dollar amount or as a percentage of the invoice total.
- Select Send.
Manage Deposits with Square Invoices
Edit a deposit
You can edit a Square Invoice at any time from your Square Dashboard, even after a partial payment has been made.
To do so:
Go to Payments > Invoices in your online Square Dashboard, and select an invoice.
Select Edit > Deposit to edit the deposit amount or change the due date.
Select Send.
Record a payment
Once a payment has been made, you can record the payment in your online Square Dashboard and Square mobile apps.
Note: The option to record a payment is currently only available on iOS.
- Go to Payments > Invoices, and select an invoice.
- Scroll down to the Payments section, and select Add Payment.
- Select Record Payment, and add a payment method.
The ability to accept in-person payments toward a deposit or partial balance is currently unavailable. In-person payments can only be taken for the total invoice amount. If a deposit is already paid on the invoice, the Record Payments option will be unavailable.
If you need to charge a card, a workaround is to send your customer a link via email to pay with Apple Pay, Google Pay or a credit or debit card.
Refund a deposit
If you need to refund a partial payment on an invoice that’s not fully paid yet, you’ll need to cancel the invoice. Once the invoice is cancelled, the transaction will appear in your transactions list, where you’ll be able to follow the steps to issue a refund.
Partial payments on a cancelled invoice will also appear in your sales reports as a Custom Amount paid, and won’t affect your inventory counts since the invoice was cancelled. If you made manual adjustments to your inventory, make sure you account for that change when cancelling an invoice.
Sales and reporting
When your customer makes a deposit payment or a progress payment on an invoice, those funds will be deposited to your account but that money won’t appear on your transactions report until the invoice is paid in full. Once the invoice is completely paid, it’ll be marked as Done, and the amount paid will appear as one line item in your Sales report.
Even if only a down-payment is paid toward the invoice, the report will reflect the full amount of the invoice in the Transfers Report. The total column will reflect the amount of the down-payment paid, and the net total won’t match the amount of the down-payment.
A partially paid amount won’t count as a sale until the invoice is fully paid off in the Sales Report. View invoice reports in three separate places on your online Square Dashboard:
Transactions: A transaction for the invoice won’t appear until the invoice is fully paid off.
Balance > Transfer Report: The partially paid amount will appear on the day the partial payment was made.
Sales Report: A sale isn’t recognised until the invoice is fully paid so the invoice amount won’t appear until the invoice is fully paid.
Important to note:
An item won’t be reduced in quantity until the invoice is paid in full.
Partial card payments taken will be deposited according to your current deposit schedule.
Partial cash or other tender payments marked as such on the invoice won’t be reflected in Reporting until the entire invoice is paid in full.
To view partial invoice payments, go to the Balance tab of your online Square Dashboard and click your location, then View All Transfers. Then, select the date you’d like to view.