Definition
Amount paid is the sum of payments already received against an invoice, shown on the invoice or statement so the client can see how the balance due was calculated. It includes deposits, partial payments, and applied credits, each ideally listed with its date and payment reference.
Amount paid in practice
Recording the amount paid against the correct invoice keeps your accounts receivable accurate. When a client pays several invoices with one transfer, allocate the payment across them so each shows the right status.
Frequently Asked Questions
Should a paid invoice show the amount paid?
Yes. Mark the invoice as paid and show the payment date and method. The paid invoice then doubles as a receipt for the client.