How do i set up the option to automatically charge my customers a 3% convenience fee?

Hi there, os-dieselrepair.

For now, we're unable to automatically charge customers with a convenience fee. We'll have to set up a non-inventory or service item to enter the credit card fee. 

Here's how: 

1. Go to the Sales menu and select Products and Services. 
2. At upper-right, click New. 
3. Select Non-inventory or Service as the item type. 
4. Enter a Name something like Convenience Fee. 
5. Select the correct Income account and then Save and close. 

When we create a sales transaction, we'll need to add the Convenience Fee item. Having this feature to automatically assign a charge saves time. I personally sent this feedback to our engineers and we can add it to our future updates. 

Let me know if you need anything else. Thanks!

@os-dieselrepair 

As stated, QB does not have an optional ability at all in invoicing, an invoice is final in QB

First thing is to check your state laws, there are some states where surcharging for using a CC is illegal.

For those states that are ok with it, there is still a problem. You are required to put a notice on the store, the check out pages, and on the receipt it must specify the surcharge item and amount, that you surcharge for using a CC and how much, the law says a % is not legal.

In addition to that, you are not allowed to surcharge when a debit or prepaid card is used at all. So if you are taking payments on line I don't see how you can know whether or not a card is a prepaid or debit card in advance.

You would have to create a service type item called surcharge and include it on the invoice for the customer, that would mean you know in advance they will use a CC, and not a debit or prepaid card

Best option is just raise your prices slightly, or accept that a merchant charge is just a cost of doing business.

Is there a way to have the charge initiated by default (like sales tax) with the ability to remove it if a customer pays with cash or a check? We have volunteers that help with sales and they may forget to add the service charge.

Is there a way to have a service charge applied automatically when a credit card is used to make a purchase? Similar to having sales tax charged by default. W e have volunteer that assist with sales and they may forget to add a service charge to a sale.

Hello there, @CSikora12.

Charging the credit card automatically when making a purchase is currently unavailable in QuickBooks. You'll have to manually apply the charge to the transaction.

To start, you'll have to set up Non-Inventory or Service item for the credit card charge. I'll show you how:

1. Click on the Gear icon located on the top right.
2. Select Products and Services under the All Lists column.
3. On the Products and Services list page, click ‘New’ in the upper right corner.
4. Choose Service or Non-Inventory.
5. Fill in the necessary information.
6. Click Save and close.

Then you can now add the charge to your customer's invoice. If you haven't sent the invoice yet, you may follow the steps below:

1. Go to the Sales menu and select the Customers tab.
2. Find and open the customer's invoice.
3. In the Product/Service drop-down list, choose the item fee you've created.
4. Select Save and Close.

See this article for detailed steps: Add product and service items to QuickBooks Online.

Also, it's a good idea to tell customers about the charge before you invoice them. You can include the default email message this in your sales forms, just click this article for more info: Customize invoices, estimates, and sales receipts in QuickBooks Online

I'm adding these resources that might help you with your future task in QuickBooks: 

• Change product and service item types in QuickBooks Online
• Set up and apply automatic late fees to invoices
• Set up and track your inventory in QuickBooks Online

If there's anything else you need help with QuickBooks, feel free to leave a comment. Thanks and have a nice day!

Has this feature been added to QBO ~ I'd like to charge my customers whom choose to pay through intuit/QuickBooks Online a 3% convenience fee so I don't have to absorb the cost.

Providing the best experience with the product is what we aim for, WandaBenton.

As mentioned above this functionality does not exist in QuickBooks.  To apply the charge to the transaction, you'll need to manually create a service item for the convenience fee. Here's how:

1. Click the Gear icon, then select Products and Services. 
2. Select the New button. And choose Service.
3. Enter the name of the service item (Convenience Fee).
4. Choose the account used for the convenience fee.
5. Click Save and Close.

Then, add the fee as a line item to the existing invoice: 

1. Go to the Sales menu and select the Customers tab.
2. Find and open the customer's invoice.
3. In the Product/Service dropdown, choose the fee item you created.
4. In the Message on invoice section, include a note about the fee. This is optional.
5. Press Save and send.

Just in case you already sent the invoice, we can create a new invoice for the fee and send it to your customer. Here's how: 

1. Tap the + New Plus icon. 
2. Select Invoice.
3. Fill out the invoice.
4. In the Product/Service dropdown, choose the fee item you created.
5. In the Message on invoice section, include a note about the invoice the fee is related to. Also include the invoice number.
6. Press Save and send.

Feel free to visit our Invoices and payments page for more insights about managing your invoices on your account. 

If you need to take care of other things in QuickBooks, I'm with you every step of the way. Just leave a comment below and I'll get back to you. Take care always. 

@WandaBenton 

Consider having a 3rd party merchant service to do so.

Quickbooks needs to get out of the stone age and make this an available option in one of their upcoming updates.

It would be great to make this automatic.  It seems like a reasonable feature.

---

@2344rafeg wrote:

It would be great to make this automatic.  It seems like a reasonable feature.

---

If you still prefer to use QB Payments to accept payments, consider having a 3rd party connector for this purpose. Merchants will have the ability to add a surcharge to eInvoicing and payment links. You will enjoy the same great functionality currently available through the virtual terminal everywhere within the application. This surcharge functionality is the only GAAP and VISA compliant solution on the market. The connector will perform a real-time BIN lookup to verify that the customer is paying via credit card and charge the applicable fee then reconcile invoice and fees accordingly to your QuickBooks.

Please add this feature!! We love QuickBooks but not all our customers pay onsite. When customers pay thousands of dollars, we end up eating it. Not good. Please please please get this added. 

Thank you for joining this thread, Derek Ro.

I see that many users, like you, want to automatically charge customers for the convenience fee. Adding this feature to the program can help you save time and money. I still recommend sending feedback on this one directly to our product engineers for inclusion in future enhancements. Follow the steps below to submit your product suggestions:

1. Tap the Gear icon in the upper right and choose Feedback under Profile.
2. This will open a window where you can enter your suggestions.
3. Make sure to key in your feedback in the field box.
4. Click Next to submit it.

Meanwhile, I recommend manually adding the fees to the sales form as suggested by my peers. If there are any outstanding invoices, you can charge late fees to your clients. This reference will walk you through the process: Apply late fees to overdue invoices automatically in QuickBooks Online.

In addition, you can utilize our online resources to help you efficiently handle your company's income, and sales transactions.

Keep me posted if you require further assistance in handling any customer-related tasks. I'd be glad to lend a helping hand. Have a good one.

Hows there been any updates?   I would like to accurately represent this on our invoice and properly characterize this fee for accounting purposes since it offset the fees quick book charges for their fees

Although everything you stated is relatively correct. Theres no law stating that you cant charge a convenience fee for quite simply providing the customer a convenient system for payment processing.  Its all in the details and all in how your fees is presented.   Its not a credit card fee.  Its a convenience fee

This is an old thread, has this been updated?

Hello there, Hipp.

I can see how relevant it is for you and other users to charge customers automatically for the convenience fee. It's a great idea to have this feature visible in our program to enable users when handling these charges. As of now, we're unable to provide a specific time frame for when will this be implemented in QuickBooks Online.

Thus, I'd still recommend sending this feature request to our product developers to include this feedback in future product updates. 

Here's how to send feedback: 

1. Go to the Gear icon in the upper-right corner and select Feedback.
2. Enter and share your feedback.
3.  Click Next to submit.

Additionally, as suggested by my colleagues above, you may want to add these fees to your sales forms manually.

Moreover, you can check out this article to guide you on how to set up and apply late fee settings to overdue invoices: Apply late fee to overdue invoices automatically in QuickBooks Online.

You're always welcome to reply below if you have additional questions about managing service fees. We'll gladly have you back and assist you anytime. Take care!

This reply was in 2020, it is now 2023. Has there been any changes? Is this option available now?

This was posted in 2020, it is now 2023, is this option available now?

Thanks for joining the thread, @bbmhayes.

Currently, the option to automatically charge customers with a convenience fee is still unavailable in QuickBooks Online (QBO). As a workaround, you can consider creating a non-inventory or service item for the credit card fee. After that, manually apply it to the invoice.

Here's how: 

1. Go to Sales and select Products and Services.
2. Click New, then, choose Non-inventory or Service as the item type.
3. Enter a Name something like Convenience Fee.
4. Select the correct Income account and click Save and close.

Once done, you can now add the convenience fee as another line item when recording your sales transactions. 

Given the significance of this feature in QuickBooks, I recommend submitting additional feedback to our developers. The greater the number of requests they receive, the higher the probability that it will be incorporated into forthcoming updates.

For additional information on managing your invoices within your account, you may check our Invoices and Payments page.

If you require assistance with any other tasks in QuickBooks, I'm here to support you every step of the way. Simply leave a comment below and I'll promptly respond. Wishing you all the best!

We have already done that, but the problem is we forget to add that item before we take and process the payment. This is so aggravating. We will just use something different than QB. There are too many software's that allow this, and I just wanted to make sure before we converted to a different software. 

It does no good to submit feedback, ya'll have been telling folks to do this since 2019, and it is 2023 and the feature still isn't available. Maybe if enough people stop using QB and use a different program that offers this and QB starts losing money they will consider this feature. Nobody listens!

Now it increases the balance and the percentage rate we've charged increases. It would be beneficial to add this feature to allow us to turn it on with our requested percentage rate according to their balance if they choose the credit card payment. 

Hello Portz,

Adding a feature that allows customers to choose the requested percentage rate for their credit card payments based on their balance would be great. It's important to us to  gather feedback from our valued customers, and we appreciate the time and effort you've taken to submit your feedback. 

Thus, I suggest sending another feedback for this request. Our developer will evaluate it. To submit your feedback, log in to your QBO account. Then, go to the Gear icon and select Feedback.

Your input is incredibly valuable to us. Post another one if you have other questions.