I am using Quickbooks 2011 Pro. I want to bill my tenants ahead each month for a utility (water) that itself bills once a quarter in arrears. When the water bill arrives, I want to make the next month's billing adjust for the over or under.
For example, in January, February and March I bill my tenant $75. In April, I get the water bill for the first quarter and it is $250. So in April I bill the tenant $100 ($75 for April and $25 for the under payment on the first quarter). Then in May and June I bill $75 again such that at the end of the 2nd quarter they once again have a $225 credit towards the bill when it comes in July.
What's the best way to handle this in Quickbooks? I have been creating $75 invoices each month and the tenant has been paying them, so their account balance is always zero. But now that I have the water bill, how do I bill them? They have already paid most of it. So its like their payments need to go against this bill now and not the previous three bills that they applied to originally.
I suppose I could apply the 3 old payments to this new bill and delete the old invoices. But that seems awkward. I'm guessing there's a better way.