Reconciling External Merchant Fees

Payment services such as PayPal take their own merchant fee for processing your Reckon Ecommerce orders. As we have no visibility into this fee, you will need to account for this manually.

Example

An order for $49.00 using PayPal payment services has a Selz fee for $0.24, and a PayPal fee of $1.97.

However the Reckon One journal will not show this fee as it is generated by PayPal.

Accounting for the PayPal fee

Per Order

1. Open the Reckon Ecommerce order that relates te PayPal fees.
2. Open your Reckon One book.
3. On the side menu, go to Day to Day > Business > Journals.
4. Open the applicable Journal in Reckon One. We recommend searching by date, or the Reckon Ecommerce order number in the journal summary.
5. Add a line to the journal using the same account as used for the Selz fee.
6. Add the total fee amount.
7. Add the applicable tax code (see PayPal to determine what tax, if any, applies).
8. Reduce the Ecommerce clearing account by the same amount as the fee (including tax).

Per Period

For simplicity you can create a one-only Journal, or indeed Money Out transaction to cover the PayPal fees for one period. A period could be a day, week, or month depending on your order volume and tax reporting obligations.

1. Determine your total PayPal fees for the period. This is best done via your PayPal account.
2. Open your Reckon One book.
3. On the side menu, go to Day to Day > Business > Journals.
4. Create a new Journal in Reckon One.
5. Ensure the Journal type is Gross (Tax Included).
6. Add a line to the journal using the same account as used for the Selz fee. If your fees were a positive amount for the period (came out of your PayPal account) this should be entered in the DR column.
7. Add the applicable tax code (see PayPal to determine what tax, if any, applies).
8. Add a second line to the journal using the Ecommerce clearing account - this is a Bank type account. If your fees were a positive amount for the period (came out of your PayPal account), this should be entered in the CR column.
9. Save, noting that a Journal should always balance. that is, DR total = CR total.

Need more help?

Ask the Reckon Community at: https://community.reckon.com/categories/reckonone

Or Log a Support Ticket: https://www.reckon.com/au/support/