Invoices: Sometimes You Have To Write it Off
Sometimes you just gotta write it off….. 
Did you know that 16% of invoices don’t get paid? 
Think about it – you get paid for 8 invoices in a row, no sweat. But when you send out that 9th or 10th invoice … the client just doesn’t pay!
And not only are you left in the lurch, you’ve now got this annoying unresolved transaction in your financial records.
So what do you do with that irritating open invoice? Should you delete it? Void it?? How do you handle something like that?
Honestly, it takes a little work to track it correctly; however, if your business accounting is accrual style, you may be able to write off that bad debt as a tax deduction!
If you’re using Quickbooks, check out this helpful step-by-step article from Intuit to help you get started.
If you’re still DIYing your bookkeeping, it’ll help walk you through the necessary processes, such as:
Running an aging AR report
Creating an expense account, and item, for bad debts
How to make and apply a credit memo
And, finally, how to run a report that shows your bad debts