How to Handle Warranty Clawbacks

When a warranty job is invoiced, the full value initially sits on the warranty ledger while awaiting claim processing. If there is a discrepancy between the invoiced amount and the warranty company's payment, the variance must be addressed. For example, if a job was invoiced at £200 but the warranty company approves only £150, the £50 difference needs to be resolved as follows:

1. Credit the Workshop Job:

   • Issue a credit for the original workshop job. This will offset the initial £200 that was raised.

2. Adjust the Pricing:

   • Update the pricing to reflect the amount approved by the warranty company (in this case, £150).

3. Reinvoice the Job:

   • Reissue the invoice for the correct value (£150).

4. Reconcile the Warranty Ledger:

   • On the warranty ledger, the original +£200 and the -£200 credit will cancel each other out, leaving the +£150 for the new claim.