Just to clarify, I do not use QBO. I am using Enterprise 2022 but, I have been using QB since it first came out in the 90's so, I knew where to go by following the steps provided.
If anyone else reading these steps needs to follow along in the desktop version I can offer these alternative steps:
Step 1 - From the Lists tab - select Lists, chart of accounts, new, account type=other current liabilities, name it (deposits; retainage, etc.), add a description if you choose, click save & close (mine is 2230 unearned income - deposits)
Step 2 - From the lists tab -select items, add new, service , name it (deposits/retainage, etc.), from the income drop down choose the account you set up in step 1
Step 4 - Option 1 - choose the customer, from new transactions choose sales receipt, for the item you choose the one you set up in step 2 (deposit/retainage), enter the dollar amount, save and close.
Step 5 - choose the customer, from new transactions choose create invoice, enter the items that were sold, on the last line of the invoice choose the item you set up in step 2 (deposit/retainage), enter the dollar amount as a negative, save and close.
