Thanks for getting back to us and providing additional details about your concern, KungFuMel.
Based on the initial post and your current response, you're likely to create an upfront deposit or retainer for the customer. This is because you've received the payment in advance even if you haven't created invoices for the customer.
- Set up an account for upfront deposits or retainers.
- Create an upfront deposit item.
- Record the upfront deposits you receive.
- Create invoices.
- Apply the upfront deposit to the invoice.
To see the detailed instructions of every steps, I'd recommend browsing this article: Manage upfront deposits or retainers.
Before following those steps, it is best to create a backup copy to ensure that data is safe for any unexpected result of the process. Also, your accountant would be a great help about this matter, too. They can give you the best option that will suit your business setup.
Keep us posted so we can assist you more with this.
