In Lawcus, you can easily apply trust account funds to an invoice for a specific client or matter. This feature allows you to manage client retainers and ensure seamless invoice payments efficiently. It is to be noted that Retainers are an essential part of managing client funds in Lawcus. They allow you to hold and apply a client's funds towards their invoices.
Steps to Apply Trust Balance/Retainers to an Invoice
Navigate and click on the
Billingsection from the left menu.Locate the invoice to which you want to apply the trust balance and click on the
Invoice Numberto open it.Click on
More Actionsand selectAdd a Paymentoption from the dropdown.In the
Payment Sourcefield, select the Trust Account which has funds available. This step ensures the payment amount you apply to the invoice comes from the client's trust account. The fund information is available on the right side under the headerFunds Available.
Choose the specific client/matter balance you want to apply the trust balance under
Source.Enter the
Amountyou wish to apply from the trust balance to the invoice. The system will automatically calculate the remaining trust balance after applying the payment to the invoice.After verifying the payment details, click the
Add Paymentbutton to apply the trust balance to the invoice.
Some firms also add Retainers to their Operating Accounts. Please note that retainers are typically deposited into a Trust Account. This is based on the principle that the attorney should hold the retainer in the Trust Account until they have earned it by providing services. However, this practice may vary according to local or state laws. We do not provide specific recommendations; it is crucial to adhere to your local laws. In many jurisdictions, if a retainer is paid to ensure an attorney’s availability for a certain period, the attorney may not be required to deposit it into the operating account. Therefore, decisions should be made in accordance with your jurisdiction’s guidelines.
Applying the Trust Balance while Creating the Invoice, or Editing an Existing Invoice
Before you Save the Invoice while creating a new one, OR start editing an existing invoice and apply the trust balance by selecting the Toggle under Funds Available section on the top, and finally, click on Save button. The funds will be auto-applied.
Matter trust balance - This is the trust balance on individual matters.
Client trust balance - This is the balance that belongs to the client and can be used on any invoices the client has for different matters.
Utilizing Lawcus's Trust Balance feature as outlined in this guide, you can easily apply trust account funds to invoices, maintain accurate financial records, and deliver exceptional client service.
FAQ Section
FAQ1: What is the difference between "Use Matter Operating Balance" and applying a balance?
Answer: The key difference lies in how the funds are allocated:
Use Matter Operating Balance means utilizing the available funds within a specific legal matter or case. These funds are dedicated to that particular matter and are used accordingly.
Applying a balance refers to using available funds to cover various expenses, invoices, or liabilities, which may or may not be tied to a specific matter. It is a broader term that can involve distributing funds across multiple purposes.