USA Vendor payment being returned

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I issued a payment to a vendor without knowing that the mailing address that I had on file was no longer valid. It's been a month since I sent the payment but in a call to the vendor they stated that the check would eventually come back to me since the PO box that I had sent it to had been closed. I'd rather not stop payment on the check if I don't have to. Working in Sage 50 Accounting, what would be the recommended way to handle this from an accounting stand point? I need to get a new check sent out to the correct address as soon as possible. Thanks so much! Ann
 

DTA93433

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I don't know how this works in Sage 50 Accounting; but you have two issues here: (1) you still have the original check listed as "outstanding" in your check register and (2) you'll show two payments (and thus, twice the expenses incurred). The only thing I can recommend is creating a journal entry: Debit: Cash and Credit (Expense). If the original check is removed off of your outstanding check register in one month and the actual check returned in a subsequent month, it will create a reconciling item on your bank statement. This General Ledger entry will correct this problem.
 
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I don't know how this works in Sage 50 Accounting; but you have two issues here: (1) you still have the original check listed as "outstanding" in your check register and (2) you'll show two payments (and thus, twice the expenses incurred). The only thing I can recommend is creating a journal entry: Debit: Cash and Credit (Expense). If the original check is removed off of your outstanding check register in one month and the actual check returned in a subsequent month, it will create a reconciling item on your bank statement. This General Ledger entry will correct this problem.
Thank you so much for your assistance!
 
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