Record a Payment: Step-by-Step Guide for Contractors

Getting paid is the best part of any job. Recording those payments accurately? That's how you stay on top of your business finances and know exactly where you stand at any moment.

The good news: SemaQuote makes payment recording quick and painless. Whether your client pays everything upfront, spreads payments over time, or accidentally sends you too much (hey, it happens!), you're covered.

Let's walk through how it all works.

How to Record a Payment

Ready to log that payment? Here's exactly what to do.

Find Your Invoice First

You've got a few ways to pull up the invoice you need:

• From the sidebar: Head to Invoices, then click the invoice number or client name to open the details
• From a client's profile: Navigate to the client's page and find the invoice in their billing history
• Using search: Type the invoice number (like "INV-2026-001") into the global search bar

Whichever path you choose, you'll end up in the same place - the invoice detail view where the magic happens.

Open the Payment Modal

Once you're viewing the invoice, look for the Record Payment button in the top-right corner. You'll see this button on any invoice that still has a balance due.

When you click it, a payment modal pops up showing you the key numbers:

• Invoice Total - The full amount of the invoice
• Already Paid - Any payments you've already recorded
• Balance Due - What's left to collect

This context helps you double-check you're recording the right amount before you commit.

Enter the Payment Amount

Here's something nice: the payment amount field automatically fills in with the remaining balance. If your client paid in full, you're all set - just confirm and move on.

Need to record a partial payment? No problem. Just adjust the number to match what you actually received.

Real-world example: Say you're a plumber who finished a bathroom renovation for $2,500. The client already paid a $500 deposit when they approved the quote. Now they're paying the remaining $2,000. When you open the payment modal, it will default to $2,000 - exactly what you need.

Choose the Payment Method

Select how your client paid from these options:

Tracking payment methods isn't just about record-keeping. Over time, you'll start to see which channels work best for your business - information that can help you get paid faster. For more details on each option, check out our guide on payment methods.

Add Notes (If You'd Like)

The notes field is optional, but it's great for capturing details you might need later:

• Check numbers for paper checks
• Transaction reference numbers
• Special arrangements you made with the client
• Why a payment was partial ("Client paying in 3 installments")

Future you will thank present you for leaving good notes.

Confirm and You're Done

Take a quick look at everything, then click Record Payment. Here's what happens automatically:

1. SemaQuote creates a timestamped payment record
2. The invoice's paid amount updates
3. The invoice status changes (more on this below)
4. Your payments dashboard analytics refresh

One click, and everything stays in sync.

What Happens to Your Invoice Status?

You don't have to manually update invoice statuses when payments come in - SemaQuote handles that for you.

This automatic update saves you time and means your invoice list always shows the real current state of each bill.

Working with Partial Payments

Many contractors work with clients who prefer to pay in installments - and SemaQuote fully supports this workflow.

Here's how it looks in practice:

1. Record the first partial payment (following the steps above)
2. The invoice status automatically changes to Partially Paid
3. The balance due updates to show what's left
4. As more payments come in, record each one
5. When the final payment lands, the status flips to Paid

Example scenario: An electrician completes a $1,800 panel upgrade. The homeowner pays $600 upfront, another $600 after the rough-in inspection, and the final $600 at completion. Each payment gets recorded separately, creating a clear paper trail of exactly when and how money came in.

You can always view the complete payment history for any invoice to see the full timeline.

When Clients Overpay

Sometimes a client sends more than they owe. When this happens, SemaQuote catches it and gives you three options:

1. Store as credit - The extra amount becomes a credit on the client's account, automatically applied to their next invoice
2. Refund to customer - Flag the overpayment for refund, then process it through your preferred method
3. Apply to another invoice - Immediately put the extra toward a different outstanding invoice for the same client

To record an overpayment, check the Allow overpayment box when prompted and pick how you want to handle the extra funds.

Pro tip: If a client regularly overpays (rounding up to nice numbers, for instance), storing credits on their account can speed up future invoicing.

Tips for Staying on Top of Payments

Want to make payment tracking even smoother? Here are some habits that help:

• Record payments right away - Enter them the moment you receive them. Your cash flow visibility depends on accurate, timely records.
• Be consistent with payment methods - Helping clients establish their preferred payment channel means faster payments in the future.
• Review your payments dashboard weekly - Spot trends in timing and preferences that can help you get paid faster.
• Set up payment reminders - For clients who tend to run late, invoice reminders can prompt more timely payments.

Recording Payments on the Go

Don't forget - you can record payments directly from the SemaQuote mobile app while you're still at the job site. This is especially handy when clients pay by cash or check right when you finish up.

The mobile interface works just like the web version, with touch-optimized controls that make it easy to log payments from anywhere.

Recording payments accurately is the foundation of good financial management. With every payment tracked, timestamped, and reflected in your analytics, you'll always have a clear picture of your business cash flow.

Ready to see your payment data in action? Head over to your payments dashboard to see the full picture.