Client Deposits let you hold prepaid funds on a client account and later apply that balance as a credit against the client's services. Use deposits to record an initial intake deposit, a hold for special orders, or any prepayment that should sit on the client's account until you draw it down.
Client Deposits is an optional feature and is disabled by default. Enable it in Admin Settings before the deposit tools appear on client records or the Accounting page.
Enable the Feature
Navigate to the Admin page and open Accounting Settings .
In the Accounting Features section, set Client Deposits Feature to Enable .
Save your changes.
Once enabled, a Deposits section is displayed on the Client Register page and the Client Deposits Report appears on the Accounting page.
Where Deposits Appear on a Client
When the feature is enabled, the Deposits section is shown on the Client Register page with the following details:
Held balance — total deposit funds currently held for the client.
Charge Deposit — opens the form to record a new deposit.
Apply Deposit — opens the form to draw against the held balance (disabled when the balance is zero).
View deposits — opens the full deposit history.
Charge a Deposit
Use this when a client provides prepaid funds.
Open the client and click Charge Deposit in the Deposits block.
Enter the Amount .
Update the Description if needed.
Set the Date of the deposit. Today's date is used by default.
Choose a Source :
Default Account: <account name> — posts a debit adjustment to the client's default services account so the deposit is funded from that account. This is the default behavior.
Adjust deposit amount only — increases the held balance without posting any transaction to the services account. Use this for corrections or to record a deposit that was already accounted for elsewhere.
Add an optional Note .
Click Charge Deposit .
The held balance increases by the deposit amount. If you chose the default account as the source, a corresponding debit adjustment is also posted to it; with Adjust deposit amount only , no transaction is posted to the services account.
Apply a Deposit to Services
Use this to draw against the held balance — for example, at month end to credit the client's services charges.
Open the client and click Apply Deposit in the Deposits block.
Enter the Amount to apply . It cannot exceed the current held balance.
Set the Date .
Choose a Destination :
Default Account: <account name> — posts a credit adjustment to the client's default services account, reducing what the client owes for services. This is the default behavior.
Adjust deposit amount only — decreases the held balance without posting any transaction to the services account. Use this when you are refunding the deposit outside the system or correcting a prior balance.
Add an optional Note .
Click Apply Deposit .
The held balance decreases by the applied amount. If you chose the default account as the destination, a credit adjustment for the same amount is also posted to it; with Adjust deposit amount only , no transaction is posted to the services account.
View Deposits
Click View deposits in the Deposits block to see the client's full deposit history. The list shows the date, description, and amount of every deposit charged for the client.
To reverse a deposit that was created in error, use Apply Deposit to draw down the held balance by the same amount. Match the option you used when charging the deposit — choose Default Account if the original charge posted to the services account, or Adjust deposit amount only if it did not.
Run the Client Deposits Report
The Client Deposits Report shows held deposit balances by client as of any date you choose. It is useful for reconciling deposits against your accounting system and for reviewing held balances at period close.
Navigate to the Accounting page.
In the Reports section, click Client Deposits Report .
Choose which clients to include:
All Statuses — every Active, Inactive, Prospective, and Discontinued client.
Invoiced in Billing Period — only clients invoiced in the selected billing month.
Selected Statuses — choose specific client statuses.
Choose which account types to include — All Accounts or Selected Types .
Set the Balances as of date .
Click Generate Report .
The report displays a table of client accounts with their held balance, sorted by last name and first name, with a total at the bottom. Use the format buttons to export as CSV, Excel, or PDF.