diff --git a/POS/src/components/invoices/InvoiceManagement.vue b/POS/src/components/invoices/InvoiceManagement.vue
index 5faac78b3..8747a6426 100644
--- a/POS/src/components/invoices/InvoiceManagement.vue
+++ b/POS/src/components/invoices/InvoiceManagement.vue
@@ -571,6 +571,7 @@ import {
 import { getInvoiceStatusColor } from "@/utils/invoice"
 import { useFormatters } from "@/composables/useFormatters"
 import { useToast } from "@/composables/useToast"
+import { useShift } from "@/composables/useShift"
 import { Button, call, LoadingIndicator } from "frappe-ui"
 import { computed, onMounted, ref, watch } from "vue"
 import { isOffline } from "@/utils/offline/offlineState"
@@ -584,6 +585,7 @@ import { logger } from "@/utils/logger"
 
 const log = logger.create("InvoiceManagement")
 const { showSuccess, showError } = useToast()
+const { currentShift } = useShift()
 const { formatDate, formatDateTime, formatTime } = useFormatters()
 
 const props = defineProps({
@@ -967,6 +969,7 @@ async function handlePaymentCompleted(paymentData) {
 		await call("pos_next.api.partial_payments.add_payment_to_partial_invoice", {
 			invoice_name: selectedInvoice.value.name,
 			payments: paymentData.payments,
+			pos_opening_shift: currentShift.value?.name,
 		})
 
 		showSuccess(__("Payment added successfully"))
diff --git a/POS/src/components/partials/PartialPayments.vue b/POS/src/components/partials/PartialPayments.vue
index 203b81aa2..73c38ad3d 100644
--- a/POS/src/components/partials/PartialPayments.vue
+++ b/POS/src/components/partials/PartialPayments.vue
@@ -213,6 +213,7 @@ import PaymentDialog from "@/components/sale/PaymentDialog.vue"
 import { usePOSSettingsStore } from "@/stores/posSettings"
 import { useToast } from "@/composables/useToast"
 import { useFormatters } from "@/composables/useFormatters"
+import { useShift } from "@/composables/useShift"
 import { Button, call } from "frappe-ui"
 import { onMounted, ref, watch } from "vue"
 
@@ -231,6 +232,8 @@ const props = defineProps({
 
 const emit = defineEmits(["update:modelValue"])
 
+const { currentShift } = useShift()
+
 const show = ref(props.modelValue)
 const loading = ref(false)
 const invoices = ref([])
@@ -323,6 +326,7 @@ async function handlePaymentCompleted(paymentData) {
 		const result = await call("pos_next.api.partial_payments.add_payment_to_partial_invoice", {
 			invoice_name: selectedInvoice.value.name,
 			payments: paymentData.payments,
+			pos_opening_shift: currentShift.value?.name,
 		})
 
 		console.log('[PartialPayments] API response:', result)
diff --git a/pos_next/api/partial_payments.py b/pos_next/api/partial_payments.py
index f0c087643..0373100ff 100644
--- a/pos_next/api/partial_payments.py
+++ b/pos_next/api/partial_payments.py
@@ -352,6 +352,7 @@ def create_payment_entry(
     reference_no: Optional[str] = None,
     remarks: Optional[str] = None,
     posting_date: Optional[str] = None,
+    pos_opening_shift: Optional[str] = None,
 ) -> str:
     """
     Create a proper Payment Entry that updates Payment Ledger.
@@ -458,6 +459,10 @@ def create_payment_entry(
 
         if reference_no:
             pe.reference_no = str(reference_no)[:140]
+        elif pos_opening_shift:
+            # Tag with the opening shift name so POS shift closing can find
+            # this payment entry during reconciliation.
+            pe.reference_no = str(pos_opening_shift)[:140]
         else:
             pe.reference_no = f"POS-{invoice_name}"
 
@@ -710,7 +715,9 @@ def get_partial_payment_details(invoice_name: str) -> Dict:
 
 
 @frappe.whitelist()
-def add_payment_to_partial_invoice(invoice_name: str, payments) -> Dict:
+def add_payment_to_partial_invoice(
+    invoice_name: str, payments, pos_opening_shift: str = None
+) -> Dict:
     """
     Add payments to a partially paid invoice via Payment Entry.
 
@@ -813,6 +820,7 @@ def add_payment_to_partial_invoice(invoice_name: str, payments) -> Dict:
                 payment_account=payment_account,
                 reference_no=reference_no,
                 remarks=f"POS Payment - {mode_of_payment}",
+                pos_opening_shift=pos_opening_shift,
             )
 
             payment_entries_created.append(pe_name)