An invoice totals USD 2,400. The customer transfers USD 600, then you agree to credit USD 200 for work removed from the bill. The remaining balance is USD 1,600. Pepper keeps the payment and credit as separate records linked to the invoice.
The amounts in this example are document totals, including any applicable tax. Confirm the lines and tax on the credit note before issuing it.
Record money after it arrives
Open the issued invoice and record the USD 600 payment with its date, method and reference. Record the transfer once, after checking that the business received it. Pepper records payment information; it does not collect the money or import a bank feed.
The invoice now has USD 1,800 due. A payment above the remaining balance fails. If someone else records a payment while you have the form open, check the current balance before submitting another amount.
Use a credit note for a reduced charge
Create the credit note from the issued invoice. Check the copied lines and change the draft to the USD 200 reduction you agreed. Issuing the credit note reduces the amount due. Creating its draft alone changes no balance.
| Record or figure | Amount |
|---|---|
| Issued invoice total | USD 2,400 |
| Recorded payment | USD 600 |
| Issued credit note | USD 200 |
| Balance due | USD 1,600 |
The issued original invoice keeps its evidence. A current copy can show the later payment and credit. Sending a current copy does not rewrite the original PDF.
Separate a correction from a refund
Reverse a payment when you entered it by mistake. Pepper keeps the reversed entry in the history and removes its effect from the balance. A reversal does not move money at the bank.
A refund records money you pay back. If the same USD 2,400 invoice had been paid in full before the USD 200 credit, the invoice would show USD 200 owed to the customer. Transfer that amount through your bank or payment provider, then record the refund on the credit note.
Those are different events. Reversing a correct incoming payment to represent a refund would lose the useful distinction between money received and money returned.
Check the whole record before closing the job
Read the invoice total, paid amount, credited amount and any refunds together. Pepper uses those records to calculate the balance due or credit owed. Email delivery and payment remain separate states: a sent invoice can still be unpaid.
For an engagement invoice, correcting or cancelling the invoice does not make its milestone available to bill again. Keep the correction on the linked financial record.
The payment manual, credit-note procedure and document statuses cover the permitted actions.