How to record a tip as an overpayment in QuickBooks Online

If you want to add a tip to a sales receipt, QuickBooks Online has a feature that allows you to do it. Here’s how you can add the tip as an overpayment for an invoice:

  1. Open the invoice and click the Receive Payment button.
  2. In the Receive Payment window, enter the following details:
    • Payment date
    • Payment method
    • Deposit to (Undeposited Funds)
  3. Enter the invoice amount and click Save and close.
  4. Click the Create menu (+) and select Bank Deposit.
  5. Enter the bank account in the Account field.
  6. Enter the deposit date and go to the Select the payments included in this deposit section.
  7. Mark the invoice payment you’ve created earlier.
  8. Go to the Add funds to this deposit section.
  9. Enter the customer name in the Received From column.
  10. Enter the tip account in the Account field.
  11. Enter the tip amount and click Save and close.