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theliftersguild
Level 2

Square deposits appearing together with invoices and over stating income.

My square income transaction report has all our paid invoices, but then there are some transactions labeled "deposit" which is the same payment taken but with the square fee subtracted causing our square income to be overstated. How do I fix this?

Attached is a picture two transaction examples.

 

Solved
Best answer February 10, 2019

Best Answers
Regina_Lend_A_Hand_Accounting
Level 9

Square deposits appearing together with invoices and over stating income.

It looks like your Square deposits are being directly added to your register from the bank feed and not properly matched to the Square Invoice payments. Your Square invoice payments should go to Undeposited Funds first, then you make a bank deposit in QBO of all the Square Invoice payments (less fees) that match the Square bank feed deposits that come into your bank feed. 

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22 Comments 22
Regina_Lend_A_Hand_Accounting
Level 9

Square deposits appearing together with invoices and over stating income.

It looks like your Square deposits are being directly added to your register from the bank feed and not properly matched to the Square Invoice payments. Your Square invoice payments should go to Undeposited Funds first, then you make a bank deposit in QBO of all the Square Invoice payments (less fees) that match the Square bank feed deposits that come into your bank feed. 

theliftersguild
Level 2

Square deposits appearing together with invoices and over stating income.

Thank you,

I always match the transactions. With Square Invoices I have never needed to do anything besides match them and QBO does the rest for me. And it's not every single payment its a couple of them that are doing that. Do I now need to manually fix it like you stated ?

theliftersguild
Level 2

Square deposits appearing together with invoices and over stating income.

Thank you,

With square payments I have never needed to do anything else besides match the transactions. And it's not all of the payments its just a couple of them. Do I now need to do that manually like you stated to fix that issue?

Joyce_P
QuickBooks Team

Square deposits appearing together with invoices and over stating income.

Thank you for posting again, theliftersguild.

 

Yes, we'll need to follow the steps which @Regina_Lend_A_Hand_Accounting provided to fix the issue with your square invoice payments.

 

Let us know if you need further help with your Square invoice payments. Have a good one!

theliftersguild
Level 2

Square deposits appearing together with invoices and over stating income.

The "receive payments" are already in undeposited funds and and can view it has been matched with the square bank deposit including the square fee. I have also tired to unmatch them and match them again and still the same issue. Not sure if I am misunderstanding the process.

I've attached two pictures that show where they are locatedScreen Shot 2019-02-12 at 9.38.15 AM.pngScreen Shot 2019-02-12 at 9.56.54 AM.png

AldrinS
QuickBooks Team

Square deposits appearing together with invoices and over stating income.

Hi there, theliftersguild.

 

I'd like to add to this discussion and provide additional clarification regarding this matter.

 

Rest assured, I can see that you've done everything right in QuickBooks Online. You were able to properly match the payment to the square deposit including the fee.

 

To clarify, did the transaction report that you're using came from Square? I tried to replicate this on my end. However, I wasn't able to find the report, which would've allowed me to further check why these transactions are showing up together.

 

That said, I'd highly recommend consulting with them to verify why the report would display both the invoice and the deposit on one report.

 

Please don't hesitate to let me know if there's anything else I can help you with in the meantime. I'll be here to help you out.

theliftersguild
Level 2

Square deposits appearing together with invoices and over stating income.

Yes, both came from square. I never enter anything manually when it's a Square transaction. 

Thank you for your help, I will reach out to them and hopefully figure out why this is happening. 

PreciousB
Moderator

Square deposits appearing together with invoices and over stating income.

Hello theliftersguild,

 

I'm glad our Established Community Backer and my colleagues have helped you shed some light about the Square deposits.

 

Let us know the results after contacting the Square Customer Support. We are always here to provide additional assistance if you need anything else. Have a good one.

studiog
Level 1

Square deposits appearing together with invoices and over stating income.

@theliftersguild did you receive and answer from square on this... I just found the same thing is happening to me. All of my credit card deposits from square are in income as well as each separate invoice/payment. Essentially, showing double income for all credit card payments.

ShiellaGraceA
QuickBooks Team

Square deposits appearing together with invoices and over stating income.

Hi studiog,

 

While waiting for @theliftersguild response, you'll want to contact the Square Customer Support. They can check this for you. You can visit their website to get the number.

 

Meanwhile, you can delete the duplicate transaction as a workaround.

 

We're here if you have other questions in mind.Thanks.

theliftersguild
Level 2

Square deposits appearing together with invoices and over stating income.

Unfortunately Square was unable to help. I actually called Quickbooks customer support and their recommendation was to delete those duplicate transactions. So in my case it was deleting the deposits that included the Square fees. Once those were deleted I added them to my excluded transactions. It fixed my issue. 

Alessandra_B
QuickBooks Team

Square deposits appearing together with invoices and over stating income.

Hey there, @theliftersguild.

 

I’m glad to hear that our QuickBooks Customer support was able to help you with your Square transactions.

 

Don’t hesitate to post again here in the Community if you need help with anything else. Have a good day!

cluke
Level 1

Square deposits appearing together with invoices and over stating income.

@theliftersguild, once you deleted the deposit (assuming they came over on your bank feed) and excluding them, was your bank reconciliation out of balance?

marsam
Level 1

Square deposits appearing together with invoices and over stating income.

This is happening to me too all of a sudden.  We changed bank accounts and now when Square syncs all Square income is overstated.  I am unable to fix it so far and it is very frustrating.

Anonymous
Not applicable

Square deposits appearing together with invoices and over stating income.

Hi marsam,

 

Let's get those duplicates deleted. Here's how:

  1. From the Chart of Accounts, click on the View history link for the bank account.
  2. Select the transaction.
  3. Click on Delete.

To delete them from the Banking page, here's how:

  1. Go to Banking.
  2. Under the For Review tab, select the transactions.
  3. Click on Batch actions.
  4. Select Exclude Selected.
  5. Go to the Excluded tab.
  6. Select the transactions and click on Batch actions.
  7. Select Delete.

Please let us know if you need anything else. We are here to help. 

Regina_Lend_A_Hand_Accounting
Level 9

Square deposits appearing together with invoices and over stating income.

The screenshots show two different deposit amounts and dates. There is not enough information to confirm what is going wrong here. Excluding and/or deleting transactions is not the answer in my view. It is best to understand what is going wrong first. It could be that Square is creating an invoice payment to undeposited funds AND posting the final payment less their merchant processing fees directly to your bank account register. I have seen this before. If this is happening, which you can see in the audit log, you would delete the "direct deposit" to the register which should put it back into the bank feed, then create a deposit from undeposited funds less the merchant processing fees to match to the deposit in the bank feed.
mc04
Level 1

Square deposits appearing together with invoices and over stating income.

Hi Regina, 

I'm having a similar issue but I'm not sure it's exactly the same. We created the invoices and posted the payments against the invoice to undeposited funds. We then made deposits for each batch of payments as they were posted to Square. In the banking tab for review, I see bank deposits from Square for the same amount but I already matched the payments from Square to the payment of the invoice but this appears to be showing up twice. Does this make sense? Can you help?

SarahannC
Moderator

Square deposits appearing together with invoices and over stating income.

Hello there, mc04. I appreciate you for bringing your concern here.

 

What we can do is exclude the duplicate transaction from the banking page. The steps below will guide you through the process. Along with the steps, I'm also adding sample screenshots.

 

  1. From the left panel, click the Banking tab.
  2. In the Banking page, tick the box for the duplicate check.
  3. Click the Batch actions drop-down arrow and select Exclude Selected.
  4. Then, let's go to the Excluded section
  5. Mark check inside the box for the duplicate check.
  6. Hit the Batch action drop-down arrow once again. Now, you have an option there to delete this duplicate check.

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Also, you can check out this article . It's talks about downloading, matching, and categorizing your bank transactions in your book.

 

You can tag me anytime you need help. I'm here to guide and help you fix things in your book. I hope your day is good. Take care!

solseeker
Level 1

Square deposits appearing together with invoices and over stating income.

I have a similar issue but not exactly the same. Simliar in my income is overstated.

We use Square at farmers markets  to track sales, so we enter all cash and credit card/check transactions into the program. 

 

At the end of the each market day, we get an email stating the import from Square to QB was successful (or not).   I have an income line of Square income, that I know is all transactions from farmers markets.  It will aslo import square fees and any square capital payments deducted. 

 

However, I notice that the cash transactions at the farmers markets, which get deposited into the bank  after the weekend are also counted as income. So, it seems that all cash/check Square transactions are getting double counted as income.  

 

How can I prevent this from happening?  I keep telling my bookeeper that is the case, but she continues to double count.

 

Now i have acutal sales records form Square reports and invoiced from Quickbookst that state my income is one figure, while my QBO P$L states its about 150K more that actual.

JasroV
QuickBooks Team

Square deposits appearing together with invoices and over stating income.

I admire you for sharing the details of your issue with us, @solseeker.

 

Allow me to impart some insights and get you back on the right track.

 

Connecting your Square to QuickBooks Online (QBO) automatically downloads your transactions. The system imports them as invoices and payments. All you have to do is to review and ensure it matches your record.

 

Since its downloading duplicates, I suggest deleting them to avoid doubling your income. Let me guide you how:

 

  1. Go to the Banking or Transactions menu.
  2. Select the Banking tab and select your Square account.
  3. Click the For review tab and select the checkbox of the transactions you want to exclude.
  4. Select Exclude.
  5. Repeat the process for the other transactions.

 

You can also check this article for more details: Exclude a bank transaction you downloaded into QuickBooks Online.

 

I also recommend checking with your accountant to prevent messing up your records. In case you've recorded the transactions in your QBO, you'll want to match them to avoid any discrepancies. 


Also, QBO is dependent on the information provided by your bank. I propose reaching out to Square support team and check if there's any way to prevent uploading the same transactions. Let me also add this link that can help ensure your accounts are well matched: Reconcile an account in QuickBooks Online

 

In case you need more help matching your Square transactions, feel ease to tag me in response. I'll be around ready to back up! Have a good one!

NBoggs1234
Level 1

Square deposits appearing together with invoices and over stating income.

Hello! I ran into a similar issue last year when we attempted to sync Square. We turned off the sync last year. The problem was never fixed and explaining it to our accountant didn’t help. There is now a carryover negative balance in A/R and positive funds showing in undeposited funds. How do we correct this? There are no outstanding invoices as we never used Quickbooks to invoice customers, used a 3rd party service for that. 

MirriamM
Moderator

Square deposits appearing together with invoices and over stating income.

Hi there, @NBoggs1234.

 

I want to ensure your A/R and Undeposited funds balance are correct.

 

To get started, you'll have to review your transactions from the bank feed and match it accordingly to the square invoice payments. You may also consider creating a journal entry to fix this. Then, ask for guidance from your accountant to help you out in accounting for the correct accounts to use. This way, your records won't mess up.

 

To create a journal entry, here's how:

 

  1. In the left menu, click on + New.
  2. Choose Journal entry.
  3. On the first line, select an account from the Account field. Enter the amount in the correct column if you need to debit or credit the account.
  4. On the following line, select the other account you're moving money to or from. If you entered a debit or credit on the first line, enter the same amount in the opposite column.
  5. Check the amounts - you should have the same amount in the Credit column on one line and the Debit column on the other. This means the accounts are in balance.
  6. Select a class for each line item.
  7. Enter information in the memo section, so you know why you made the journal entry.
  8. Select Save and new or Save and close.

 

You can check out this article for additional information about this process: Create a Journal Entry in QuickBooks Online.

 

For future reference, here's a great resource about the best practices when reconciling: Learn the reconcile workflow in QuickBooks.

 

Please let me know if there's anything else I can do for you. I'll be standing by for your response. Have a great day.

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