A customer owes you but hasn't paid yet. Create an adjustment:

DR Accounts Receivable CR Sales Revenue

This recognises the revenue now and tracks what the customer owes.

When the payment shows up in your bank import, it will appear in the Inbox as a cash inflow. Don't let it post as new Sales Revenue — that would double-count the sale.

Instead, categorise it in the Ledger to credit Accounts Receivable, clearing the balance the customer owed.

You received an invoice but haven't paid yet. Create an adjustment:

DR Expense (e.g. Operating Expenses) CR Accounts Payable

This records the expense immediately and tracks what you owe.

When the payment clears in your bank import, categorise it against Accounts Payable instead of the expense account — the expense was already booked in step 3.

You paid for something in advance — e.g. 6 months of rent or insurance. When the payment shows up in your bank import, categorise it:

DR Prepaid Expense CR Bank Account

This parks the cost as an asset — you haven't used it yet.

At the end of each month, create an adjustment to move the used portion into expenses:

DR Operating Expense (e.g. Rent) CR Prepaid Expense

Repeat monthly until the prepaid balance is zero. This spreads the cost over the periods that benefit from it.

A customer paid you in advance for something you haven't delivered yet — e.g. a deposit, subscription, or project milestone. When it shows up in your bank import, categorise it:

DR Bank Account CR Unearned Revenue

This records the cash but doesn't count it as revenue yet — you still owe the service.

As you complete the work or deliver the goods, create an adjustment to move the earned portion into revenue:

DR Unearned Revenue CR Sales Revenue

Repeat as you deliver over time. This keeps your revenue honest — only what you've actually earned shows on the P&L.