Cash Receipts with bank fees

Yahoo Archive
1
Calvin,

Here's what we do.
1. We have a GL account for "Bank Service Charges".
2. We have a Miscellaneous Charge called "Credit - Bank Service Charge" tied
to the "Bank Service Charges" GL account.
3. We create a new Credit Memo for the customer.
4. We add a line with no part # and a description of Bank Service Charge.
5. We add a Misc Charge to the line and select the "Credit - Bank Service
Charge".
6. Then we do the Cash Receipts Entry.


Good Luck,

Dan Snyder
IT Manager
Mercury Electronics
717-428-0222 ext.224


_____

From: vantage@yahoogroups.com [mailto:vantage@yahoogroups.com] On Behalf Of
Calvin Krusen
Sent: Tuesday, March 18, 2008 8:45 AM
To: vantage@yahoogroups.com
Subject: [Vantage] Cash Receipts with bank fees



How do you process a cash receipt that had bank fees deducted from the
invoiced amount?

Example: Overseas customer XYZ is invoiced $1000, pays by electronic
funds transfer, and our bank charges $50 for the ETF service. We
receive $950, but want to credit the customer the full invoice amount.

We want to apply $1000 to the customers account, but need to expense
the bank fees seperately.

Can this be handled when Cash Receipts is processed?

Or does it require creating seperate transactions for a credit memo to
the Customer(for the bank fees), followed by a GL entry to expense the
fees?

Thanks in advance,

Calvin



.

<http://geo.yahoo.com/serv?s=97359714/grpId=20369/grpspId=1705007183/msgId=6
3324/stime=1205844309/nc1=4507179/nc2=3848642/nc3=5170407>



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2
How do you process a cash receipt that had bank fees deducted from the
invoiced amount?

Example: Overseas customer XYZ is invoiced $1000, pays by electronic
funds transfer, and our bank charges $50 for the ETF service. We
receive $950, but want to credit the customer the full invoice amount.

We want to apply $1000 to the customers account, but need to expense
the bank fees seperately.

Can this be handled when Cash Receipts is processed?

Or does it require creating seperate transactions for a credit memo to
the Customer(for the bank fees), followed by a GL entry to expense the
fees?

Thanks in advance,

Calvin
3
Hi Calvin,

We just went live last month with Vantage. Our company decided to receive the full amount of the invoice and then do a bank adjustment expensing the wire fee and referencing the invoice information.

The other thing you could do is adjust the invoice and use the expense account you have for the wire fee.

Hopefully that helps.

If anyone has a better idea, we would love to hear about it as well.

Thanks,
Lisa B.



----- Original Message ----
From: Calvin Krusen <ckrusen@...>
To: vantage@yahoogroups.com
Sent: Tuesday, March 18, 2008 5:45:05 AM
Subject: [Vantage] Cash Receipts with bank fees

How do you process a cash receipt that had bank fees deducted from the
invoiced amount?

Example: Overseas customer XYZ is invoiced $1000, pays by electronic
funds transfer, and our bank charges $50 for the ETF service. We
receive $950, but want to credit the customer the full invoice amount.

We want to apply $1000 to the customers account, but need to expense
the bank fees seperately.

Can this be handled when Cash Receipts is processed?

Or does it require creating seperate transactions for a credit memo to
the Customer(for the bank fees), followed by a GL entry to expense the
fees?

Thanks in advance,

Calvin





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Never miss a thing. Make Yahoo your home page.
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[Non-text portions of this message have been removed]
4
Since we do not offer early payment discounts, we set up our bank fees
gl as the payment discount default in the company configuration. We
then process the deposit for the actual amount received as a payment
with discount. The invoice is paid in full, the cash amount is correct
and the bank fees hit the proper gl.



Christy J. Morris

Controller
Cold Jet, LLC
455 Wards Corner Road
Loveland, Ohio 45140


513-716-6370

513-576-8986 (fax)
www.coldjet.com


align=baseline>
Setting industry standards in dry ice technology and solutions for over
20 years.

________________________________

From: vantage@yahoogroups.com [mailto:vantage@yahoogroups.com] On Behalf
Of Calvin Krusen
Sent: Tuesday, March 18, 2008 8:45 AM
To: vantage@yahoogroups.com
Subject: [Vantage] Cash Receipts with bank fees



How do you process a cash receipt that had bank fees deducted from the
invoiced amount?

Example: Overseas customer XYZ is invoiced $1000, pays by electronic
funds transfer, and our bank charges $50 for the ETF service. We
receive $950, but want to credit the customer the full invoice amount.

We want to apply $1000 to the customers account, but need to expense
the bank fees seperately.

Can this be handled when Cash Receipts is processed?

Or does it require creating seperate transactions for a credit memo to
the Customer(for the bank fees), followed by a GL entry to expense the
fees?

Thanks in advance,

Calvin





[Non-text portions of this message have been removed]
5
We do the same thing.


Edward F. Fox, Jr., CPA

Controller

Maxson Automatic Machinery Company

Phone 401-596-0162 a Fax 401-596-1050

www.maxsonautomatic.com <http://www.maxsonautomatic.com/>



_____

From: vantage@yahoogroups.com [mailto:vantage@yahoogroups.com] On Behalf Of
Christy Morris
Sent: Wednesday, March 19, 2008 9:52 AM
To: vantage@yahoogroups.com
Subject: RE: [Vantage] Cash Receipts with bank fees



Since we do not offer early payment discounts, we set up our bank fees
gl as the payment discount default in the company configuration. We
then process the deposit for the actual amount received as a payment
with discount. The invoice is paid in full, the cash amount is correct
and the bank fees hit the proper gl.

Christy J. Morris

Controller
Cold Jet, LLC
455 Wards Corner Road
Loveland, Ohio 45140

513-716-6370

513-576-8986 (fax)
www.coldjet.com

align=baseline>
Setting industry standards in dry ice technology and solutions for over
20 years.

________________________________

From: vantage@yahoogroups <mailto:vantage%40yahoogroups.com> .com
[mailto:vantage@yahoogroups <mailto:vantage%40yahoogroups.com> .com] On
Behalf
Of Calvin Krusen
Sent: Tuesday, March 18, 2008 8:45 AM
To: vantage@yahoogroups <mailto:vantage%40yahoogroups.com> .com
Subject: [Vantage] Cash Receipts with bank fees

How do you process a cash receipt that had bank fees deducted from the
invoiced amount?

Example: Overseas customer XYZ is invoiced $1000, pays by electronic
funds transfer, and our bank charges $50 for the ETF service. We
receive $950, but want to credit the customer the full invoice amount.

We want to apply $1000 to the customers account, but need to expense
the bank fees seperately.

Can this be handled when Cash Receipts is processed?

Or does it require creating seperate transactions for a credit memo to
the Customer(for the bank fees), followed by a GL entry to expense the
fees?

Thanks in advance,

Calvin

[Non-text portions of this message have been removed]






[Non-text portions of this message have been removed]