Void Invoice in Sage Desktop

To void an invoice in Sage 50 (previously known as Peachtree), you need to follow certain steps to make sure the transaction is reversed correctly and that your financial records remain accurate.

Step 1: Open Sage 50 and Access Your Company Data

1. Launch Sage 50 on your computer.
2. Sign in to your company file where the invoice was created.

Step 2: Locate the Invoice

1. In the Navigation Pane (left side), click on Customers & Sales.
2. Under the Sales section, select Invoices & Credits.
3. In the Invoices & Credits window, click the List button to display all invoices.
4. From the list of invoices, find the one you want to void. You can use the Search function to quickly locate the invoice by invoice number, customer name, or date.

Step 3: Open the Invoice to Void

1. Once you have found the invoice you want to void, click on it to open the invoice.
2. Review the details of the invoice to ensure it’s the correct one.

Step 4: Void the Invoice

There are two ways to void an invoice in Sage 50: by using the Void Invoice function or creating a Credit Memo.

Option 1: Use the “Void” Feature (If Available in Your Version)

1. In the open invoice window, you should see an option at the top of the screen (usually under the Edit menu) to Void the invoice.
2. Click Void. Sage 50 will ask for confirmation before proceeding.
3. Confirm that you want to void the invoice by clicking Yes. Sage 50 will automatically create an opposite entry to reverse the original invoice and update the Accounts Receivable and other affected accounts.
4. After voiding, the invoice will be marked as Voided, and the transaction will be reversed in your system.

Option 2: Create a Credit Memo (If Void Option is Not Available)

1. If you don’t have a direct void option, you can create a Credit Memo to reverse the invoice.
2. Go to the Customers & Sales section and click Credit Memos & Adjustments.
3. In the Credit Memos & Adjustments window, click New.
4. Select the same Customer as the original invoice.
5. Enter the Invoice Number of the original invoice to link the credit memo.
6. Set the Credit Memo Date to the same date (or a later date if you prefer).
7. Ensure the Amounts on the credit memo match the invoice’s total so that it will completely offset the invoice.
8. Save the Credit Memo. It will reverse the transaction created by the invoice, and the customer’s account will reflect the credit.

Step 5: Verify the Void/ Credit Memo

1. Once the invoice is voided or the credit memo is created, check the Customer’s Account to ensure the voided transaction has been properly reflected.
2. Go to the Customer List and open the Account Inquiry for that customer.
3. Verify that the Invoice has been reversed (in the case of a credit memo, you should see a negative amount for the same total as the invoice).
4. Review the General Ledger to confirm that the accounting entries are updated correctly.

Step 6: Reconcile and Close

1. Once the invoice is voided and everything is updated, reconcile your Accounts Receivable and ensure the balance is accurate.
2. Review all reports (such as the Customer Balance Detail Report and Sales Journal) to ensure no discrepancies.

Additional Notes:

• If you void an invoice after a certain period or the fiscal year has ended, it’s a good idea to consult with your accountant to ensure proper handling for tax or financial reporting purposes.
• If you void an invoice in Sage 50, the system will automatically update your General Ledger and Customer Account. However, always double-check to make sure the updates are accurate.

Voiding an invoice helps ensure your financial records remain accurate without needing to delete or manipulate any of your existing transactions.