Introduction to Credit Memos

How to create a credit memo for a customer. To begin, R2 will only allow you to return some or all of the money collected from a single invoice, therefore you cannot credit more than was billed. Nor does R2 allow you to simply give money back, it must be credited from an existing system invoice.

1. Begin at the Invoicing module.

2. Click on the Search Invoices  icon.  Enter the invoice number you are searching for and click on the Search button. Double-click on the invoice – this will take you immediately to the Receivables Batch that invoice was originally posted from.*

• To create a credit memo in R2, the invoice you are crediting must first be invoice/posted. If an invoice is not yet posted, it is still in flux, and you can simply change the pending invoice amount.

3. Click on the invoice line once to highlight it, then click on the Credit Memo  icon.

4. From the Credit Memo screen (above) enter the amount you are giving back to your customer in the “Credit Memo” field. Note that you cannot return more than was charged on any given line. In the example above, I can credit back a maximum of $250,000 for the ¼” (F) Barrels line.

NOTE: Do NOT click on the TAX button, nor any of the other buttons at the top of the credit memo unless you want to fully credit that amount! By crediting a certain number of dollars for each line, R2 will automatically credit the appropriate tax amount to those items.

To add remarks/comments about the credit memo, click on the Comments or Remarks button at the bottom of the credit memo screen. When done, click on the OK button. R2 will inform you that the credit memo has been created and will give you the credit memo number at the same time.