Is there a way to "bad debt" an account so they don't show up on the balance report but still on their ledger?
Replied by : firstname.lastname@example.org
Yes, you can writeoff a bad debt. Click here to watch a video showing the steps. Here is the outline for the process:
- In the Balance report select the account you want to writeoff.
- From Action Menu click on Balance Offsetting Payment.
- When done, the balance on the account will go to $0.
- However, a Bad Debt Writeoff (or whatever desccription you entered) transaction will show in the Ledger and the Transactions Report.
- If you are able to recover this bad debt later, then simply void the Bad Debt Writeoff transaction in the Ledger.