When entering the receipt of a customer payment by credit card, I need to account for the providers fee of 2.2%
I can enter the payment and then choose add line and enter the bank charge as a negative value and this works.
My problem is that I can’t work out how to do it without manually calculating what the fee is.
It would be a good feature in the software to either automatically add in the 2.2% fee each time I enter the payment or, if I enter the payment and then add an additional line for the fee, just enter the % figure and the software calculate the $ value based on the line above it.
Can you please consider adding this feature as I’m sure many others would like it too?
Your workflow is not correct because the receipt is from the customer and is income. The bank fee goes to the financial institution and is an expense. They have to be separate transactions. The reduced amount will not properly clear a customer’s Accounts receivable balance (if they are paying off a sales invoice) nor provide a correct cash receipt.
Is the providers fee (a) deducted from the customers payment so you receive a nett amount (sale less fee, such as via PayPal) or is the providers fee (b) charged to you separately (apart) from the customers payment ?
I receive a payment of $400 from a customer by credit card
$400 is applied to customers invoice but the transaction into the cash account is $400 less the bank charge of 2.2% ($8.80), which is applied as a bank fee
I can do this manually but when the amounts are odd (which is often) I need to pull out a calculator each time to calculate the value to enter. It becomes time consuming.
Ideally, a setting could be added to apply a fixed % as the bank fee for each payment of the particular type but as a minimum, be able to split the line and just enter the % and the software calculates the value.
The customer paid $400 by credit card, I receive the full payment less 2.2% into my account, which is $391.20.
I don’t think it’s that hard to understand.
You can’t “receive the full payment” if a fee has been deducted before you receive the payment.
Therefore, the customer paid 400 in which you received 391.20 after the deduction of the fee.
Tut,
The way I have been doing it is to receipt the total actual payment figure and then add a line for the bank charge and enter the calculated fee as a negative value.
I may be wrong, but from what I have read I believe that this is the way to do it.
All I’m asking is for the program to automatically calculate the fee and enter the extra line when the payment is done or, have the facility to enter a % figure and the program calculate what the fee is based on the % figure entered against the above line.
I have used software where both or at least one of these methods are available so am just suggesting it be considered as an added feature in the future if it can’t already be done.
Thanks for your help, Hope I have explained myself adequately.
This is correct. I’m not sure why, but I was also confused as to what you are doing. Rereading the entire thread with hindsight, it all seems clear from the beginning. But for some reason is wasn’t so the first time around. Apologies for my denseness.
There is the problem with implementing your idea. The basic structure of Manager uses independent line items. The program has no knowledge of any relationships between them and never creates line items on its own. It takes context for every line item from the form it is on and relates it to customers or suppliers, as necessary But it does not have the capability to look to other line items for information or calculation. It just isn’t structured that way. The only time any transaction is entered automatically is when customer or supplier credits are applied to invoice balances or late fees are calculated. But those events involve totals and balances, not line items.