Bank transaction charges

[satello]

hi everyone, i have a transaction and payment from an overseas client. the amount on the invoice was £262.00 which he paid, but unfortunately he did not pay the international transaction fees of £7 which my bank charges.

so now I have a payment in the bank account for £255.00

how do i go about allocating this?

thanks for your help.

walter

[Lurch]

http://help.quickfile.co.uk/main/1/accounting_for_income_from_payment_service_providers.htm

[Glenn]

Do you intend to request payment for the £7 fee from your client?

If not just edit the invoice and add a line for -7.00 and call it something like processing fee. Then you can match directly from the bank.

It really depends whether or not you want to insist that your client pays the £7 shortfall… I’ve had this situation happen a few times with international payments.

[satello]

Glenn,

Thank you. Yes, I a kind of discount would be the quickst way to do it. I am not going to rebate with the client, not worth it, I was just wondering how to allocate this £7 as an expense, if possible.

Thank you.

[Glenn]

Something like this I imagine:

[satello]

thanks very much for the hint, i’ll go the easy way then…