Creating Agent Advances

Adding an Internal Broker Advance

Navigate to the selected Transaction and select the Commission tab

Highlight the Agent and select the Advance icon ($):

Select New to add the advance information

The Agent Ref ID, Transaction number, Agent Comm and Agent Tax will default with the Transaction’s details: enter the relevant details as required

Select Advance Company Type (B: Broker) and the Company Name (your own company name) as the Advance Company:

Enter the Advance Amount Paid

Select the Advance Letter and generate the template if applicable

If an Agent is representing both sides of the transaction, create a separate Advance for each end of the transaction:

To create a check in QuickBooks® at the time of creating the Advance, make the following selections:

If Post to Accounting selected, will post when process initiated under Accounting > Update Agent Advances & Reverse

If Post Immediately selected, will post immediately to QuickBooks®

When an Advance is saved (using either post function), the system automatically posts to either Accounting or QuickBooks®. At that time, the advance can no longer be modified.

If deselected, no advance check is generated

The above logic applies to advances entered either in Real Estate/Trust/Adv/Exp/Agent Advance or using the Advance option within the transaction

Finance Charges and Agent Advance Handling Fees do not apply to Advance Checks to Agent

Advances on Closed transactions cannot be reversed unless the transaction(s) is first reversed. If entered incorrectly, Reverse the entry by selecting the Reverse button, adjusting the necessary changes, then resync via Accounting > Update Agent Advances & Reverse

Advance checks are created in QuickBooks® as follows:

  • General/Operating Account is credited
  • Transaction Clearing Account is debited

Once an advance is recorded, the Advance icon becomes highlighted for easy identification:

Viewing Outstanding Advances

Select the Accounting Menu > select Search Agent Advance

The system allows searching Advances by Agent or Transaction.

By agent select the Lookup button, select an Agent, then select OK

Advance Pay Back to 3rd Party

The advance is deducted from the Agent at the time of their next closing, and a check issued to the advance company to clear the broker liability. If there is more than one advance paid from a 3rd party advance company, this step will be repeated, until all advances are repaid.

Repayment of a 3rd Party Broker Advance in QuickBooks® 

Pay Advance Fee to 3rd Party Out of Commission Trust Account/Write Check/Cheques to Advance Company

A Check/cheque will be issued to the advance company from Commission Trust

The Third Party Advance Payable Current Liability Account will be debited with the check amount and the Commission Trust Account will be credited the full amount.

Voiding Advances

Select Edit from the Commission tab on the transaction

Highlight the Agent whom you processed the advance and click the Advance icon

Select Edit and zero out all numbered fields, then Save. In some cases you may need restart the application for new changes to take effect

If an internal brokerage advance check was issued, it can be voided in QuickBooks® via Accounting > Update Agent Advances & Reverse

*Note that if an advance has been assigned to an Agent, that advance must be reassigned to another transaction and finance or handling fees recalculated accordingly if applicable.

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