diff --git a/erpnext/accounts/doctype/payment_entry/payment_entry.py b/erpnext/accounts/doctype/payment_entry/payment_entry.py
index 25b67e2db31..d40efc52d84 100644
--- a/erpnext/accounts/doctype/payment_entry/payment_entry.py
+++ b/erpnext/accounts/doctype/payment_entry/payment_entry.py
@@ -1519,7 +1519,7 @@ class PaymentEntry(AccountsController):
 
 			allocated_positive_outstanding = paid_amount + allocated_negative_outstanding
 
-		elif self.party_type in ("Supplier", "Employee"):
+		elif self.party_type in ("Supplier", "Customer"):
 			if paid_amount > total_negative_outstanding:
 				if total_negative_outstanding == 0:
 					frappe.msgprint(