Dear community members,
Thank you so much for reading my message.
We are a travel agency that sells custom travel packages. How can we track the profit in each travel package we sell. For example, we sell a vacation package for $1,000USD.
From there, we need to pay to all the suppliers that will service the clients of that package that include: airline, transportation, tours, and accommodations. So for the sake of the example, let’s say the vacation package charges consists of:
From the above, we have to pay the suppliers the following
Clients pay with credit card so we need to factor in the charges of the payment gateway of the credit card processor.
How should I set manager so that I can see a statement or something where I can see the vacation package sale amount and the different payments and credit card charges I made for that specific package to the vendors and the net amount of money we made from that package.
Thank you again for your answer!
I see there are many ways to record your transactions.
You should add more detailed information about your transaction.
Do you want to record your customers in your income report?
Do you want to record suppliers for the costs you incur?
@Mabaega Yes, I would like to record my customer in the income report if possible and the suppliers for the cost I incur. That would be great.
You can try this method,
Create a non-inventory item with the name you mentioned. (optional, because we can use account directly)
Also create cost accounts as you describe.
Create New Project (for each sales)
Use sales Invoice to record your income and choose a project name for each line of income you sell.
Use Purchase, to record all costs according to the account you mentioned and select the project name for each line of cost you pay.
Use Receipt, to record receipts, you will receive the full amount according to the income you recorded on the sales invoice.
If we are the one paying the gateway fee, then add a line to record bank charges, but with a minus value. (but this method will be a little confusing in the Project report)
The best way is to make a Receipt, according to the Invoice you issued. Then make a separate note for the bank charge that you have to pay using Payment. (select project on the bank charge line)
In my opinion, this is not a suitable application for a general purpose accounting program. You should investigate software tailored for the travel industry. You will also probably be able to integrate that with such things as airline reservation systems. Using Manager will force you constantly into suboptimal compromises.
you can process each travel as project
@Mabaega Thank you so much for your clear instructions! I will test them.
@Tut @contabl2006 and @Mabaega Thank you so much for the feedback! I set it up and it works great!
@contabl2006 Now, how do I do to see the Project report? I could not find any project report anywhere.
Also, what I did when I execute a payment to a supplier is to add a line for wiring charges (we wire payments to suppliers). So in the same payment I make to pay the purchase order I add a line that includes the wiring fees. Is this okay?
Open Project Tab
and Click Number on Profit Column to see the details
It’s best if you use separate payments, because you don’t pay bank fees to the Supplier/Customer, but to the Bank.
from project tab click the project you want, you will get the profit report for the same.
@Mabaega Silly me! On the project tab I was clicking on VIEW expecting to see the report, but I have to click in the profit. Thank you so much! That report is what we needed.
Now, as far as the bank wiring fees, this is how I handled it because I can allocate the expense to wiring fees directly, not to account payables. Do you still suggest I make its own entry?
You need to try both, and compare them,
For Payment, it seems that wiring fees in one voucher or in separate vouchers produce the same report.
And sorry, I made the wrong suggestion