Sometimes there's reasons to categorize money you receive as down payment, or money in advance of a job starting, as a liability instead of as income. If you show money you receive in advance as income, you may need to pay tax on that money, even though the job is not completed yet.
To categorize the funds you receive as down payments as a liability, follow the steps shown in this video:
Create the invoice from SynkedUP.
Open the invoice in QBO.
Once in the invoice in QBO, copy the text in the description field
Take a look and jot down or remember the amount in that line item, as we will need to enter that back in again after changing the line item category
Now, go to the Product/Service column and in that drop down, and select your category for liabilities/down payments.
Paste your description text back in the description, and type in the amount in the Rate column
Now repeat this for each line item
Now you can either Save or Save and Send the invoice to your customer
Once this invoice gets paid, you will now see these funds in your Liability account in your Balance Sheet
Now, once the job is complete, and you want to actually record these down payment funds as income:
Go back to that down payment invoice
We'll want to repeat those steps we did in Steps 3 thru 7 above, except this time we're reversing what we had done there, to record these line items as actual income.
copy the description text
remember the line item amount
change the Product/Service category to the correct income account
paste the description text back in
type in the correct amount on the line item
Now you can see the funds are no longer in liabilities
But instead they are on your Profit & Loss as income
That is how you can record money you receive in advance of a job starting as a liability and not income. Let me know if you have any questions in the chat box. Thanks and have an amazing day!