I already use Gocardless, I need a complete breakdown of Gross,net, etc for VAT purposes should I connect to QB or will this screw up my accounts and make double entries?

Hi NeilC1,

Connecting GoCardless will not double your entries. This will let you import your mandates and collect payments using it. Here's an article about integrating GoCardless for your reference: GoCardless Welcome Guide.

If you’ve received payments using GoCardless before and they were posted to your bank, you can also connect your bank account to QuickBooks. This will let you match your bank transactions to your invoices or directly add them to your bank register if they are not in QuickBooks yet. Then, you can generate reports to get your Gross sales, net amount, etc.

Before we talk about reports, I'd like to ask a few questions. Do you have transactions in QuickBooks already? Are you assigning VAT to your transactions? Please add more details about your current setup and we'll start from there. Thanks in advance.

Hi Thank you.

Yes I have transactions in quickbooks already.

Yes I have assigned VAT to the transactions.

However the VAT figure is not quite correct as Gocardless do not pay the full amount into my bank account. They remove their fee before it enters my Bank Account, therefore the VAT figure is always going to be wrong on entries made in Quickbooks (Does that make sense?)

If I add Gocardless and Stripe apps to my quickbooks account will it pick up the whole transaction including any fees taken by Gocardless or Stripe?

Thank you.

I presume if I do that manually each month I won't need to connect Gocardless. 

The reason being I suspect I will have to manually enter 200+ clients to make it work, unless it does it automatically for me?

Hi I cant follow the first step because I can't find undeposited funds account.

 you will have to save the payments of the invoices to the undeposited funds account > create a bank deposit > 

Hello NeilC1

When you connect the Go Cardless app it gives you the option to import existing mandates for your existing Go Cardless clients,(in the cog>all lists>there will be a go cardless mandates section)

In answer to your other question if you cannot find the undeposited funds chart of account you may need to create it.If you go to accounting>chart of accounts>new>change account type to current assets>detail type to undeposited funds and then save and close.

Any questions let us know

Emma

Thank you Emma.

What I have found is if I go to Bank deposit for the payment/invoice, then scroll down to add funds to this payment it gives me the option to add the fee charged by Gocardless.

The help page says to add this as a negative and put it down as bank charges. 

However when I do that it takes away the charge from the original deposit.

Eg

The amount is £18.02 + VAT when I input the fee of £0.18 it reduces the final figure to £17.84.

Surely it should add the fee so that VAT can be charged at the full cost of £18.20?

Cheers

Hi NeilC1, 

The fee should be entered as a negative amount on the bank deposit as it reflects the charge from GoCardless.

The VAT for the sale is entered on the invoice, not on the payment. You can see this by going to the invoice and viewing the 'VAT @ on X amount' line below the subtotal. The amount entered in this box will post to Box 1 on the VAT return. 

If you are on accrual accounting, this VAT amount will post to the VAT return as soon as you raise the invoice. If you are on cash accounting, the VAT amount will only post when the payment has been recorded on the invoice. In both cases, it is the VAT amount on the invoice that will show on the return. 

Please let me know if that explains :)

When I enter the fee as a negative, the books no longer balance.

I had to remove the fees to rebalance the books.

Hi NeilC1

What is not balancing, the bank balance?

You need to create the invoice/sales receipt for the full/gross amount, including any VAT. you receive payment for the gross amount into the undeposited funds account, then create the bank deposit, select the relevant invoice payment/sales receipt and enter the fee in a negative figure, this then reflects the net amount you receive into your bank.

My Bank account and QB do not balance if I add the fee.

I am trying to add the fee charged by Gocardless to an already existing transaction.

Everything you have replied with means absolutely nothing to me, I really don't have a clue how to do anything you have suggested.

You need to talk me through this as a complete imbecile.

Hey NeilC1

This is a subject of general difficulty, just because it's relatively complicated. You're not alone in struggling to understand it - It took me time at first.

GoCardless Receives Payment of the money from your customer, they hold that funds for a small period of time, They take their fees off, and then bank deposit the remaining amount in your bank account. We have to represent each step on quickbooks.

If the Bank account and QB balance does not balance when you add the fee, then you already have the fee, impacting your bank statement directly - this shouldn't be occuring. You need to look into the "Account History" of the bank account to find where the fee is impacting the balance.

Your invoice payment should have Undeposited Funds, instead of your bank account, and there should be no charge lines on the invoice, or on the invoice payment. The fee's should only appear on the Bank Statement, and they'll always be negative. If your bank is out when adding the charge line, then it would indicate the charge line is already accounted for on your bank somewhere in QB.

Hi 

'GoCardless Receives Payment of the money from your customer, they hold that funds for a small period of time, They take their fees off, and then bank deposit the remaining amount in your bank account.'

Yes that bit I understand.

'If the Bank account and QB balance does not balance when you add the fee, then you already have the fee, impacting your bank statement directly - this shouldn't be occuring. You need to look into the "Account History" of the bank account to find where the fee is impacting the balance.'

This bit I do not understand.

In my Bank account if Gocardless  pay me £100 then that is all that will appear on my statement, and QB and Bank a/c balance as they should.

If I add the fees that GC have charged me ie £10, this £10 fee is not on my bank statement and therefore will not tally if I manually add it to QB.

How do I manually add the fees that GC charge me without affecting the balancing of QB and Bank Balance?

Apologies for being dim, I just need somebody to tell me to put that one there, put that there and it's all sorted.

Hi, NeilC1.

Let me take over and help you add the fees manually in QuickBooks Online.

To manually record the fees in QuickBooks Online, you'll need to create a deposit transaction and record the fees in a negative amount.

Here's how:

1. Click the Plus icon (+) at the top.
2. Under Others, click Bank Deposits.
3. Select the payment.
4. In the Add funds to this deposit field, choose an account.
5. Enter a negative amount, under Amount.
6. Click Save and close.

You may find this article interesting: https://quickbooks.intuit.com/community/Help-Articles/Record-and-Manage-Bank-Deposits-in-QuickBooks-....

This should get you back on track. Let me know how it goes by leaving a reply below. Have a good one.

1. Click the Plus icon (+) at the top.
2. Under Others, click Bank Deposits.
3. Select the payment.  What Payment? NO payment appears for me to choose from.
4. In the Add funds to this deposit field, choose an account.
5. Enter a negative amount, under Amount.
6. Click Save and close.

The screenshot you sent does not appear on my screen.

I really have no idea what is going on here.

Hello there, @NeilC1.

I'd be glad to help you today so you'll be able to access the screenshot added by my colleague RoseMarjorieA.

The stored data of your regular browser maybe damaged or corrupted that can affect it's performance. To help us narrow down the cause of this unexpected behavior why you can't view the screenshot added, you may access your account using a private browser or an incognito window and check if you can see it from there. To open your account using a private browser, you can use either of these shortcut keys:

• Google Chrome, press CTRL  + Shift + N
• Mozilla Firefox: press CTRL  + Shift + P
• Internet Explorer: press CTRL  + Shift + P
• Safari: press Command + Shift + N

If it works fine, you have to clear the cache of the regular browser you're using.

On the other hand, the payment mentioned above is the payment received when recording a receive payment.

Don't hesitate to add a comment below if you have any other QuickBooks questions. I'm just a post away to help you!

Apologies.

I did not mean that I couldn't see the screen shot, I meant that particular screen does not appear on my quickbooks screen.

The image does not match what I am seeing on my screen so I can't follow the instructions.

Neil

Hi NeilC1

We recommend that you contact our telephone support line, they have the ability to do a screen share and will be able to assist you further, 0808 234 5337.