Definition
A partial payment is any payment that covers less than the full balance of an invoice. It may be planned, as with instalments or deposits, or unplanned, when a client short-pays because of a dispute or cash constraints. After a partial payment, the invoice remains open for the remaining balance due.
Partial payment in practice
Record every partial payment against the specific invoice it applies to and update the balance due. Invoicing tools often mark the invoice as "partially paid" so it stays visible in follow-up lists.
If a client short-pays without explanation, ask why before treating the remainder as overdue. It is often a sign of a dispute over a line item.
Frequently Asked Questions
Should I accept a partial payment?
Usually yes, since some money now is better than none, but confirm in writing that the remaining balance is still owed and when it is due.