How to record online sales through 3rd party vendor (Smugmug) and reconcile to bank deposits
I use a service called Smugmug to sell photos online. They display the photos online, collect payment and sales tax from customers, handle order fulfillment, retain a fee of 15% of profit, then pay me periodically with two bank deposits, one each for the balance of profit and sales taxes collected. They also provide a spreadsheet with individual sales details, such as total collected, cost of individual item(s), shipping cost, and taxes collected.
What QB workflow is needed to record individual online sales and match to the deposits received later from Smugmug? (The individual items sold can be tracked through the Smugmug spreadsheet if this level of granularity is not required to complete the QB sales entries.)
Since customer pays Smugmug at time of sale, not sure whether to use sales receipts or invoices for for the sales transactions in QB.
We're happy to have you in the Community. I can help you record and reconcile your online sales and bank deposits.
I can share the difference between an invoice and sales receipt. You will only use an invoice if your customer will pay you later while sales receipt when your customer pays on the spot for goods or services.
In your case, since you have Bank Deposits, you can create invoices and link them with your deposit. This process won't make any duplication of your transaction and recordings.