Record Trust Transactions

Recording trust transactions keeps the trust ledger accurate when funds move without a trust request, such as a direct deposit, interest earned, or a bank charge. Recording a transaction logs the entry against the correct trust account and client or matter. With these entries in place, trust balances in Clio match your bank records.

Record a new trust transaction

You can record a trust transaction without creating a trust request from the Transactions subtab of a contact or matter, or from the Accounts tab.

1. Go to the contact and click the Transactions subtab.
2. Under Transactions, select the trust account the funds are deposited into.
3. Click New transaction.

4. Complete the transaction fields to keep the transaction clear and compliant: 

   • Source/Destination: Enter non-person details about the transaction, such as bank account information.
   • Payer/Payee: Identify whether the client is the person paying for, or receiving payment on, the matter.

   Note: Some state bars require payer and payee information to maintain compliance with trust accounting.

   • Type: Enter how the transaction is completed, such as a cash payment or bank transfer.
   • Description: Enter the purpose of the transaction, such as "Trust retainer for [name]".
5. Click Record transaction.

Record interest earned on a trust account 

Important: To remit the interest earned on IOLTA funds to your state bar IOLTA program, you will need to provide the IOLTA-specific EIN from your state bar when opening a new trust account. For more information on IOLTA programs, check with the American Bar Association.

1. Go to Accounts.
2. Select the relevant trust account.
3. Click New transaction.
4. In the Amount field, enter the interest earned.
5. Match the Date field to the date of the interest earned.
6. Select Trust interest.
7. Optional: In the Description field, enter the purpose, such as "Interest on trust account".
8. Click Record transaction.

Record a bank charge on a trust account

1. Go to Accounts.
2. Select the relevant trust account.
3. Click New transaction.
4. In the Amount field, enter the bank charge.
5. Match the Date field to the date of the bank charge.
6. Select Trust bank charge.
7. Optional: In the Description field, enter the purpose, such as "Monthly bank charge".
8. Click Record transaction.

Up next

Disburse Trust Funds: Return remaining trust funds to your client or pay a third party manually.