Refund for Manual/Custom Order

[SidekickStreet]

I have an order that we created as a custom/manual order.  We had to do a cancellation of it before it was ever sent.   Then I chose the "refund" option, just so my chart doesn't show an outstanding amount owing to a customer, even though it is not owed, and was taken care of outside of the Shopify system entirely.  I just want to make sure that clicking "refund" on a manual order will not cause any money to be held back when time for payment from Shopify comes...?  I assume not, but just want to make sure.

[DaisyVo]

Hi @SidekickStreet 

I totally get why you’d want to double-check this—manual orders can sometimes behave a little differently than regular Shopify transactions, especially when it comes to refunds and payments. Let’s break it down.

Since this order was created manually and the payment was handled outside of Shopify, clicking "Refund" in Shopify doesn’t actually process any real money movement. It only updates your order records within Shopify to reflect that the order was canceled and refunded. This is useful for bookkeeping and making sure your reports stay accurate, but it won’t affect any payouts from Shopify since the original payment didn’t go through Shopify’s system in the first place.

In short: No, marking the manual order as “Refunded” won’t hold back any actual funds from your Shopify payouts because Shopify was never involved in processing the payment. You’re just adjusting your records to reflect what already happened externally.

If you need extra help, just let me know asap. Thanks
Daisy.