A negative figure in the Other column on the Review Charges screen usually means an invoice was deleted without also removing the trust-to-operating transfer that paid it. The money remains on the file as an operating retainer, and Legal Accounting shows it as a credit waiting to be applied to the next invoice.

This article explains why the negative amount appears and how to resolve it, depending on whether the transfer can still be deleted.

This scenario can happen when an invoice is paid automatically from trust and Legal Accounting creates a transfer transaction alongside the invoice. Deleting the invoice does not delete the transfer. Make sure when deleting an invoice that any transfers done at the time of billing are also deleted to prevent this from happening.

If the transfer is not deleted:

The transferred money has already left trust, so it is held on the file as an operating retainer. When you next request an invoice for that file, the retainer appears as a negative amount in the Other column, because it will be applied against the amount owing.

If the transfer has not been cleared on a bank reconciliation and can still be deleted:

Follow these instructions:

1. Open the client ledger for the file.
2. Locate the transfer transaction and drill down on it.
3. Click Delete at the bottom left. The transfer is deleted, and the operating retainer is put back into trust.
4. Request the invoice again.

If the transfer has been cleared on a bank reconciliation:

Once a transfer has been cleared on a bank reconciliation, the Delete button is not available. The transaction has been acknowledged as having left the real bank account, so it cannot simply be removed. You have two options:

• Option 1: Let the retainer apply to the invoice: If you are content for the money to be applied to the new invoice, no action is needed. Finalize the bill and the operating retainer is applied to the amount owing automatically.
• Option 2: Move the money back to trust first: If the money should sit in trust rather than against this invoice, reverse it before billing.

To do this:

1. In Legal Accounting, perform an operating-to-trust transfer for the amount concerned by clicking the Add entry menu.
2. Click the Transfer tab.
3. Move the money from the operating account into the trust account.
4. Click Save to save the transaction.
5. Make the matching transfer at the bank.
6. Request the invoice again. The trust funds are applied as they were originally.

Updated October 07, 2026 17:04