When you collect payments through a card processor, they often deduct a fee before the funds reach your account. To ensure your invoice is marked as fully paid and your bookkeeping is accurate, you need to record this fee. You can do this by adding the transaction fee directly to the invoice in the app, which offsets the difference between the invoice total and the amount received.
Steps to record a processing fee
To account for these fees while matching a payment, follow these steps:
Tap on the invoice you want to match a payment to.
Select Match on the invoice details screen.
Tap Add payment processing fee.
Enter the exact amount of the fee charged by the processor.
Tap Add fee.
Once completed, your invoice should be marked as paid in full, as the fee now accounts for the remaining balance.
What if there is still a balance?
If a balance remains after adding the fee, you or your accountant may need to make manual adjustments to balance your records.
For example, if a customer pays £100 via a card processor but you only receive £97.30 due to a £2.70 fee:
You would credit £2.70 from the Sales account.
You would debit £2.70 to the Financial Charges account.
If you’re unsure how to perform these adjustments, you can invite your accountant to access your data through our dedicated web portal for accountants. They will be able to review your transactions and ensure your books are balanced correctly. ⚠️