If you have received a prepayment from the customer for work that is not yet done. Use Receive Payments to record the payment.

1. Choose Receive Payments from the customer menu.
2. Select the customer from whom prepayment is made.
3. Select the Payment mode either cash, check or credit card.
4. If you are depositing the payment amount to any of your bank then choose the bank in the Deposit this amount into field.
5. To keep the "Cash In Hand", don't select any option
6. If you want to keep the cash in a fund to deposit later, select Group with Undeposited Funds.
7. Prepayment is done only if there is no invoice for the customer.If the customer has invoice then the amount should be paid against the invoice listed.
8. Enter amount in the Total amount field.
9. Click Submit to record the prepayment from the customer.