---
title: "Advance Payments"
description: "Records prepaid amounts for a project and automatically deducts them from the final billing."
---
The area **Interim payments** (German: **Advance payments**) makes it possible **Record payments that are made before final project billing is completed**. This is helpful for projects with a longer duration or high overall volume, in which customers usually **Deposits**, **Partial amounts** or **Advance payments** afford.

![Illustration](/images/help-center/projects/settings/advance-payments-01.png)

The advance payments for a project can be found under **Projects → [Select project] → Settings tab → Advance payments**

To the area [Billing](/billing/billing-in-project-based-services)

## Purpose

Advance payments serve the following purpose:

- Ensuring liquidity during ongoing projects
- to break up larger total bills,
- to map agreed payment plans,
- payments made are correctly taken into account in the system.

Amounts recorded are **automatically taken into account in the final invoice** and deducted from the total invoice amount.

### Typical use cases

- Contractually agreed down payment at the start of the project
- Discount after milestone releases
- Security payment before development begins

[Bill projects](/billing/invoice-review/invoice-projects)

## Table overview

![Illustration](/images/help-center/projects/settings/advance-payments-02.png)

The list shows:

- **Title** the advance payment
- **amount**
- **Date**on which the entry was created
- **Billed** (Status whether this payment has already been shown on an invoice)

On the right you will find:

- **Delete symbol** (trashcan) to remove the entry
- **Pen icon** (pencil) for editing

## Create a new advance payment

About **Add new payment** open the capture dialog.

![Illustration](/images/help-center/projects/settings/advance-payments-03.png)

The following fields are available:

- **Title**
    
    Short name, e.g. “Prepayment”, “50% deposit”, “Milestone 1”
- **Description**
    
    Optional information text, e.g. “Client paid €1,000 upfront”
- **amount**
    
    The amount to consider

The capture serves **not** just the documentation:

As soon as the amount is used as part of the final invoice, it automatically reduces the final invoice amount.