do you sometimes get paid on the same day for rendering a legal service
to a client well then you need to know how to record sales receipts for immediate services
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our law firm gets paid on the same day that we render a service to the client this is usually
for immediate services like a notary the correct document to make in this case is a sales receipt
making a sales receipt in quickbooks online is the same as making an invoice we can print
the receipt at the moment we get paid for example let's imagine on february 1 we performed two
notary services for alan arby he came in and gave us a check for five dollars for two signatures
for two dollars and fifty cents each the check was deposited the same day that we did the service
and it was deposited into chase bank so what changes in the trial balance if we give a
service and get paid immediately well income from notary service increases by the amount we earned
on the day that we gave the service and since we got the money directly into our bank account
at the moment we got the service then the cash and the chase bank also goes up
and those will be the numbers in the trial balance but what happens to the customer's balance
would the customer's balance change if we recorded a sale receipt and the answer is
no the sales receipt will still be listed in the transaction list by customer report
but the customer would not owe us a different amount of money as a result of paying for
something they received immediately so let's look at what the results will be in the trial balance
cash and chase bank will be five dollars more and income from notary service will show up for
the first time on the trial balance as five dollars so from the top left well let's just
adjust our little show here okay from the top left we click new sales receipt and again it looks
just like an invoice we go forward to february 1st and we're doing 2021 in our little story
the customer who paid us was alan arby now be careful the the money went directly into the
bank account click directly under where it says product and service and choose notary services
we set that up in the beginning of the course and there were two services performed
two dollars and fifty cents each that means the cash in bank
is increasing by five dollars and so is the income from notary service when we click save and close
we can go back to the trial balance reports trial balance and take a look cash in chase
bank is twenty five thousand and five dollars and the notary income is now five dollars but
let's take a look at the customer reports if we click reports transaction list by customer
you can see that the sales receipt was listed in the very simple list of transactions by customer
which is organized by date but however if you click reports and you click open invoice
you will not see the sale receipt if you click reports and you click customer balance summary
you will not see the effect of the sale receipt because it does not change the unearned income
amount or the amount receivable because we got paid today and now that we've performed a second
service let's take a quick look at the profit and loss we click reports profit and loss
and you can see this is the first time that we have two separate income accounts
with two separate income items earned for two separate services notice the profit and loss
shows the total of the income category we have not yet recorded any expenses but i wanted to
show you that the purpose of the profit and loss was to first add the total of the income category
then add the total of the expense category to get the net operating income and the net income
so let's take a look at the next transaction let's imagine
february 5th we perform same-day legal services for betty boop she deposited a hundred dollars
into the chase bank account for the service and here's the transaction number 76543
whatever but because we got paid on the same day that we rendered the service
the proper document to make is a sales receipt so in the top left we click new
sales receipt and we said this was february 5th it was betty boop february 5th
make sure that the money is going into the correct bank account click directly
under products or service and choose legal services rendered and then just put the amount
a hundred dollars oh not a thousand be careful sorry about that there you go can always fix
now when we click save and close you can see legal services income has increased by a hundred dollars
and the profit and loss shows the results of every number in the trial balance that's
under the category of income and expense so these numbers are the same in the trial balance with all
the other numbers and what's also the same is that you can double click the number and get a list of
every transaction that led up to that total for that uh account so the total legal service uh
fees income click the arrow is a result of these four transactions and you can see these three were
invoices but this last one that increased the account by a hundred dollars is a sales receipt
and you can still double click and go back and change anything you want if you need to