Accept Customer Payment for Invoice in Different Currency

Scenario

With the Multi-Currency Customers feature, users can set a base currency and additional currencies available for transactions with a customer.

User would like to apply Customer Payment to an Invoice in different currency. However user cannot see Invoice under Transactions > Customers > Accept Customer Payments unless Payment and Invoice are in the same currency.

Example:

• Customer’s Primary Currency: Euro
• Invoice record Currency: Euro
• Desired Payment record Currency: USD

Solution

It is currently not possible to directly accept Payment in different currency from the Invoice (as well Bill) currency. This is because NetSuite is not capable of double conversion of Currency. We only have a single Exchange Rate field on a single transaction.

This feature is requested under Enhancement 112956.

Note: To search and vote for the Enhancement, see 10054 Voting for Enhancements.

The alternate solution is applicable when a Customer Payment (in USD) and an Invoice (in Euro) were already created and it consists of 4 steps. 

Step 1: Create Customer Payment for Invoice in Euro. This is to have the Invoice in Euro in status Paid in Full.

1. Go to Transactions > Sales > Create Invoices > List
2. Invoice (in Euro): Click View
3. Click Accept Payment
4. A/R Account: Select Account Receivable account
5. Account: Select Undeposited Funds
6. Currency: Select Euro
7. Click Apply tab
8. Click Invoices subtab
9. Apply: Enter Checkmark for the Invoice (in Euro)
10. Click Save

Step 2: Deposit Payment from Step 1. This is to clear out the Payment created in Step 1 from Undeposited Funds Account.

1. Go to Transactions > Bank > Make Deposits
2. Account: Select USD bank account 
3. Currency: Select USD
4. Click Deposits tab
5. Click Payments subtab
6. Enter Checkmark for the Payment created

• Amount (USD): Enter USD value of the Payment

1. Click Save

Step 3: Enter a Journal Entry in USD to reverse the impact of the Deposit created in step 2 on USD bank account or to reverse the impact of original Payment in USD from Undeposited Funds.

1. Go to Transactions > Financial > Make Journal Entries
2. Subsidiary: Select Subsidiary of the Customer
3. Currency: Select USD
4. Click Lines tab

• Account: Select Accounts Receivable account used on the Customer Payment

1. Debit: Enter Amount
2. Name: Select Customer’s Name
3. Click Add

• Account: Select USD bank account of the Customer Deposit from step 2 (if the original Customer Payment in USD is booked against Undeposited Funds, select Undeposited Funds instead of USD bank account) 

1. Credit: Enter same USD Amount 
2. Name: Select Customer’s Name
3. Click Add
4. Click Save

Step 4: Apply the Journal Entry against the original Customer Payment in USD.

1. Go to Transactions > Customers > Accept Customer Payments
2. Customer: Select Customer
3. A/R Account: Select Account Receivable account (the same as on unapplied Customer Payment (in USD) and Journal from step 3)
4. Account: Select Undeposited Funds
5. Currency: Select USD
6. Click Apply tab
7. Click Invoices subtab
8. Apply: Enter Checkmark for the Journal Entry created in Step 3
9. Click Credits subtab
10. Apply: Enter Checkmark for the unapplied Customer Payment (in USD)
11. Click Save