Brand new to Stripe for credit card payments. Stripe payout (minus fees) arrived on business account as expected but what of the fees. Obviously, the invoice amount and payout are different, how do I tally the 2 together? Shouldn’t we have received an invoice for said fees?
I believe Stripe will typically issue an invoice for the fees around the 4th of each month for the previous month. This is something you’d have to check with Stripe directly.
Essentially each transaction is made up of 3 movements -
- The full invoice value paid by your client
- The fee paid to Stripe
- The difference paid out to you
You can either record the sales in bulk (see here: Handling payments from merchant accounts), or individually (see here: Accounting for income from a payment service provider), but either way the concept is the same.
Stripe only issue monthly invoices for fees, dated the 1st of the following month. However, they are deducted from each payout they send over. If you connect Stripe to your QF account, it should automatically allocate the correct amount to each invoice, and deal with the fees.
If you’re VAT registered then you must reverse charge the monthly fee invoice from Stripe, so you’re better off just letting the fees accumulate in your stripe merchant account during the month and then when you get the monthly invoice from Stripe, put that through as a purchase (with reverse charge if you’re VAT registered) and mark the purchase as paid from the merchant account to clear off the accumulated fees for that month’s transactions.
Thank you Stephen. I realise now I had forgotten to create a nominal account for stripe as well as setting them up as a supplier.
Many thanks, Ian. I finally get it.
Thank you Stephen. Having linked Stripe and QF it finally works!
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