When your customer pays an invoice, you need to record it as income in Transactions before you mark the invoice as paid.

For bank payments

If you use a connected bank feed:

1. The transaction will already be in the Draft transactions table for you to categorise.
2. Categorise it as Turnover, and save it to Completed transactions.
3. Go to Invoicing and find the invoice.
4. Select Actions then Mark as paid. 

If you're don't have a connected bank feed: 

1. Manually add this payment under Money-in transactions and record it as Income.
2. Enter the payment date, amount, and choose the relevant bank account as the source.
3. Categorise it as Turnover, and save it to Completed transactions.
4. Go to Invoicing and find the invoice.
5. Select Actions then Mark as paid. 

For cash payments

1. If your customer paid in cash, manually add this payment under Money-in transactions and record it as Income.
2. Enter the payment date, amount, and choose Cash account as the source.
3. Categorise it as Turnover, and save it to Completed transactions.
4. Go to Invoicing and find the invoice.
5. Select Actions then Mark as paid. 

• Introduction to invoicing > 
• Add, edit or delete sales invoices >