Record your cash receipts/purchases
If you received cash from a customer and want to create a cash receipt and link it to an invoice, you can create a “Petty Cash” bank account and add a “Received” money transaction to record. Same approach applies when you paid someone in cash.
1. Go to Banking … Lists … List of Banks and Credit Cards. Click to Add a Bank or Credit Card.
2. Once saved, go to Banking … Transactions … Banking, select Petty Cash account.
Enter the transaction details under the New Transactions tab.
If you are entering a cash receipt, enter the amount as Received.
If you are entering a cash purchase, enter the amount as Purchased.
3. Click Save Changes.
• If you have deposited the cash to your business bank account later, mark the transaction as a “Transfer” and transfer the money to the Petty Cash account to reconcile.
• If you want to link a cash receipt to a customer invoice (or to link a cash purchase to a supplier invoice), select the customer/supplier name, then hit the “Allocate” button and tick an invoice number to match. This will automatically mark the invoice as paid.