A credit note records that an amount has been credited to a client's account. You can use it to reduce what a client owes on a current invoice, or apply it against a future invoice; for example, to correct an invoice error or account for an overpayment. In splose, you can create a credit note for an invoice that isn't fully paid.
This guide covers how to add a credit note to an invoice and how to void one.
Before you begin
⚠️ Please note
Once a credit note is associated with an invoice, the invoice can't be edited, even if the credit note is later voided; you will need to void the invoice and create a new one.
How-to
Add a credit note
Navigate to the Invoices tab.
Select an invoice, then select the Pay drop-down menu.
Select Add Credit Note.
A credit note page will be displayed, showing the invoice item lines. By default the credit note covers the full invoice amount. To credit only part of an invoice, for example, to clear a small underpayment, adjust the quantity or price on the item line(s) so the credit note total equals only the amount you want to credit, before creating it.
Click Create to proceed.
The credit note will then be created. If Xero is connected, the credit note will also be created in Xero.
💡 Clearing an underpayment or rounding difference
If a client has paid all but a few cents of an invoice, set the credit note to just the outstanding amount (e.g. $0.05) by editing the item line before you create it. This brings the invoice balance to $0.00 and marks it paid, with no surplus credit left on the client's account. If you create the credit note for the full invoice amount, the client is left with account credit for the portion they already paid.
Void a credit note
Keep in mind the process of removing a credit note is not automatically synced between Xero and splose. You must also void the credit note in Xero and archive the credit note in splose to completely void the credit note.
To void a credit note in splose:
Go to the client's profile, then the Statement tab.
Select the appropriate date range to locate the relevant credit note.
Once found click the Actions drop down, then Archive.
Important: If the credit note has been partially applied to invoices, you must first void the associated payment(s) before you can void the credit note.