We have a handful of people in our organization who pay for events partially with money and partially with work trades. Let's say they owe us $1000 for an event. In month 1, they make a partial payment of $100. We record this via the back office. In month 2, they work for 10 hours and reduce the balance they owe us by $200.
How should we record this $200?
What I would like to do is to create a Payment Method called "Work Trade" but I'm not sure what financial account it should relate to.
- What it should really do is reduce Accounts Receivable. But I'm not sure how to record a negative amount to Accounts Receivable.
- It should not go against Payment Processor Account, because no actual cash is received.
- Should I set up another account type, called like "Work Trade Account" or something?
Another option is to reduce the amount they owe us directly by reducing the $1000 down to $800 in their event registration. But I don't really want to do this because many of our events are fixed price, and so this would introduce the need to modify event prices so I can change their registration. Also, it's not correct -- they are giving us a value of $1000 for that event.
Suggestions or best practices?