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office14
Level 1

Reconciling Merchant Service Fees

I'm not sure of the best way to ask this. I saw some other posts, but they didn't quite match what I'm trying to do, and/or the responses didn't make sense to me. 

 

Our merchant service processor started daily billing, you could still do monthly, but there were added fees. So when a batch is settled, the fees are automatically deducted from the batch settlement amount on the bank statement. Previously, when it was monthly billing, I just recorded the monthly debit amount in the Merchant Service Fees account. 

 

I've seen people say to do a split when entering the payment, but that would decrease the amount in our Services income account. I don't want to see anything other than direct sale amounts in that account. 

 

I'm thinking this would be done in a journal entry somehow, but I can't quite wrap my head around how to actually do it. I made a spreadsheet and entered the original customer payment amount, and subtracted the statement amount to see the fee amount. However, that's tedious and seems like it's double work, and I still don't know where to account for that fee without affecting the Services account. 

3 Comments 3
AbegailS_
QuickBooks Team

Reconciling Merchant Service Fees

Hi there, @office14.

 

QuickBooks Payments will automatically sync your transactions in QuickBooks Desktop including the net deposit and fees. Thus, there's no need for you to do anything other than map the transactions so they're posted to the correct accounts.

 

Here's how:

  1. Open the QuickBooks company file that you’d like to connect.
  2. Select Customers and then Link QuickBooks Payments to bring up the payments preference. 
  3. Select Sign In to enter and link your QuickBooks Payments account.

 

For more details, check this article: Turn on online payments in QuickBooks Desktop for Mac

 

I also have these useful links for your future reference:

 

Feel at ease to comment down below if you need more help in setting up the payment feature in QuickBooks Desktop. I'll be more than happy to assist you. Have a blissful day.

office14
Level 1

Reconciling Merchant Service Fees

I don't see that option on QB Desktop for Mac; only an option to sign up for Quickbook Payments.

AbegailS_
QuickBooks Team

Reconciling Merchant Service Fees

Thanks for pointing that out, @office14.

 

I already updated my response for some clarifications. 

 

Feel free to visit our QuickBooks Payments page for more insights about processing and managing customer payments. 

 

Let me know if there's anything that I can help with managing payments. I've got your back!

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