Banking fees on invoice transaction?

[eclipse]

Hi all,
I've forgotten how to enter an MYOB thing... I've got an invoice for $430 but it was paid by paypal and lost $19.22. How do I account for this "lost money"? Cheers.

[KarenC]

I think there are a different couple of ways but this is what I do.

Setup an account Assets for PayPal as a bank account so it shows as a bank.

'Receive Payments' for the full invoice $430 as normal so it shows the client has paid in full.

Then go to the BANKING window and click Spend Money.
(Make up a recurring transaction for this one.)

Put the fees under Bank Fees (I have a whole lot of lists under Bank fees including Merchant fees etc.)

That means you have your tax deductible fee itemised for PayPal.

[BeYourOwnBookkeeper]

Hi

As always with software there is always more than one way to enter a transaction!

If the paypal receipt is deposited into your business bank account you can enter the full amount of the invoice as a "receive payment", using your normal bank account. And then enter a Spend money transaction to your normal bank account for the bank fee.

When you reconcile the bank the two entries need to be added together to agree to the amount that was entered in the bank. eg $430 - $19.22 = $410.78
hope this helps.

Robyn