Follow the steps below to create a credit invoice. This process assumes that you have already created one or more billing items as described here with a billing item Type of “Fee Adjustment” or “Expense Adjustment” as appropriate with a negative amount. You will also need to create an invoice as described here that includes the adjustment billing item(s). 

Once you have completed the prerequisites above:

1. Hover over the Billing module and select Manage Invoices.
2. Select the Invoice to which you wish to apply the credit.

3. Click the Add Billing Item button.

4. Change the Type to “Payment from Client” or “Payment from Retainer.”

5. Select the Invoice(s) to be paid (if not already selected). 
6. Select the Apply invoices with credit as payment checkbox under the payment amount - this will reduce the payment amount to the amount not covered by the credit. 
7. If the credit does not completely cover the selected invoices and you wish to only apply the credit, enter “0” in the Payment Amount box. 
8. Enter or update any other fields as needed. 
9. Click the Save button. This will add a negative payment billing item for the credit invoice and positive payment billing item(s) for the invoice(s) that are being paid. Note that the payment amount in the billing item(s) for the invoice(s) being paid will exceed any amount actually received from the client by the credit amount. AppColl creates payments in this manner to ensure that credits and debits against invoices sum correctly.