Following along in 8am™ MyCase is recommended as you read the article.
Overview
You can pay an invoice with funds from your client's trust or credit account. Below, we will outline how to pay an invoice specifically from your client's trust account funds.
Please note: You must first deposit into trust before recording a client payment into trust.
To learn more about how to record a trust deposit/retainer, click here or follow the steps in the FAQ below.
Pay Invoice with Trust Account Funds
Open the invoice you would like to apply a payment to.
Click the Record Payment button.
The Record Payment light box will appear (see below).
Click the From Trust Account tab.
Then, select the Contact for the payment.
If there are multiple contacts linked to the related matter, you will get a list of all those people/companies in the dropdown menu.
From the Select Bank Account drop-down, choose Trust Account.
If your firm has multiple Trust Accounts in the system, select the Trust Account funds will be pulled from.
From the Select Trust Account drop-down, select the client's trust account you would like to use to pay the invoice.
You can select from a Case Allocation or Unallocated
If a contact has multiple cases, only the case that is linked to the invoice should populate.
You may see a banner stating, "Note: Client has $ in unallocated trust funds. Transfer unallocated trust funds to this case,"
When clicking the hyperlink, a Trust Allocation light box will appear. Here you can allocate funds directly into the case as needed.
Please Note: It is not required for trust funds to be allocated to a case to use against the invoice (if unallocated).
Enter the Amount you would like to transfer out of the client's trust account.
Check the "Pay in Full" box, if applicable.
Enter the Date you would like the payment to appear within MyCase.
From the Select Operating Account To Transfer Trust Funds drop-down, choose Operating Account.
If your firm has multiple Operating Accounts in the system, select the Operating Account funds will be deposited into.
Enter any Notes you want to attach to the payment.
Click the Make Payment button.
A payment confirmation box will appear and you will need to click Confirm Payment to complete the process.
Once the payment as been processed, you will be able to see the payment reflected in the Invoice History at the top of the Invoice page (the client will see it reflected at the bottom of the invoice, if Show Trust Account History is enabled on the invoice.)
FAQs
Will MyCase Move Funds From My Trust to Operating Account After Recording Payment?
No, MyCase does facilitate any physical transfer of funds between accounts. The actions recorded are for bookkeeping purposes only and the firm must manually move these funds with their bank.
Can I Record an Offline Payment Larger Than the Invoice Amount?
No, MyCase does not allow overpayments to invoices, even for offline payments. If you received a payment larger than the invoice amount, deposit the funds into their trust balance and then follow the steps above to apply payment from trust.
Do I Need to Create a Request Funds Before Recording a Payment?
If you have already received payment intended for trust, you can follow the steps below on how to enter a trust deposit. Otherwise, a Request Funds can be created to send a payment link to the client.
Recording a Trust/Retainer Deposit Without an Invoice
Navigate to the client’s contact page.
Select the Billing tab.
Click the Deposit into Trust button and complete the payment details.
If you're looking to deposit a Non-Trust Credit Balance, click the Bank Account dropdown and select Operating Account then click the Deposit into Credit button to complete deposit details.
Correcting an Incorrect Trust Payment Amount
Open the invoice and click View History.
Locate the payment line item and click View.
In the side panel that opens, click Delete.
A light box will appear to confirm your action, click Yes, delete.
Open the invoice and record a payment From Trust to allocate the funds directly.
Fixing an Unpaid Invoice Due to Trust Fund Withdrawal
If you recorded a trust withdrawal but find that an invoice remains open, the withdrawal was not reflected as payment against the invoice. To correct this:
Navigate to the client’s contact page.
Select the Billing tab.
Locate the withdrawal line item and click View.
In the side panel that opens, click Delete.
A light box will appear to confirm your action, click Yes, delete.
Open the invoice and record a payment From Trust to allocate the funds directly using the steps in the beginning of this article.