Be sure to record your Merchant Fees accurately!

Are you using Square/Stripe/Paypal (or any other Payment Gateway) to accept payments from your clients?

If yes, be sure to account for your Merchant Fees accurately!

๐Ÿ‘‰๐Ÿพ Say your client pays $1,000 for your service, and you processed it through Square.

๐Ÿ‘‰๐Ÿพ After the processing fee, letโ€™s say the amount coming into your bank is $ 960.

๐Ÿ‘‰๐Ÿพ You’ll still need to record your earned revenue as $1000 (not $960)!

๐Ÿ‘‰๐Ÿพ The $40 merchant fees should be booked as an EXPENSE.

This is important, as your Revenue line item would be understated otherwise โ€“ and your financials will not be accurate.

Something that I often catch business owners overlooking.

If you have questions, feel free to reach out.ย ๐ŸŒบ

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