How do i apply a bank service fee to an invoice?

I’m here to help share information on how to apply a bank service fee to an invoice.

To start with, you can enter bank service fee as a new Service item or enter bank service fee amount into the register so it matches the bank statement. Once done, enter the fee as a negative amount on the Bank Deposits screen upon depositing a payment.

  1. Click the Plus (+) icon at the top and then click Receive Payments .
  2. Enter all the payment information and place a check next to the invoice you would like the payment to be applied to.
  3. Choose Undeposited funds as the deposit to account and click Save .
  4. Click the Plus (+) icon at the top and then click Bank Deposits .
  5. You should see the payment you entered in the Select Existing Payments section at the top.
  6. Place a checkmark to select the payment you want to deposit.
  7. From the Add other funds to this deposit section, enter the amount of the bank service fee charged to you by the credit card company as a negative amount.
  8. From the Account section, select the Expense account you usually use in tracking bank fees.
  9. Verify that the deposit amount is correct and click Save .

That’s it! Please let me know how it goes, I’d be always here to help. Have a great day!

‎July 17, 2021 08:14 PM

How do i apply a bank service fee to an invoice?

Are these the same steps to take when the payment has been automatically deposited into the checking account, minus the bank fee? Example: Invoice is $50, payment deposited is $45 (bank fee is $5 but there's not a separate transaction for that, they just reduced the payment they deposited to cover the fees).

‎July 17, 2021 09:08 PM

How do i apply a bank service fee to an invoice?

Yes, those are the same steps for payments that are posted on your Checking account, naturecoastag.

After manually entering the deposit in QuickBooks, you can match it with payment on the Checking account. This way, it won't cause duplicate entries on your Chart of Accounts.

Let me show you how to match them:

  1. Find a downloaded transaction with the Match option in the Action column on Banking page.
  2. Note the Date , Description , Payee , and amount spent or received.
  3. Select the downloaded transaction to expand the view.
  4. Review the Matching records found in QuickBooks. This is the possible matching transaction you already entered in QuickBooks.
  5. Select the link next to each match to get more details.
  6. Make sure this is the correct match. In particular, review the Deposit to , Payment method , and Bank account fields on forms for the existing transaction in QuickBooks.
  7. If this is the correct match, close the open transaction.
  8. Select ​ Match ​.

The final step is to reconcile your bank accounts. This ensures your books are accurate and there aren't any duplicate transactions.

Don't hesitate to post again if there's anything else you need about recording payments in QuickBooks. I'm always glad to help you.

‎September 13, 2022 10:40 PM

How do i apply a bank service fee to an invoice?

My bank is not connected in Quickbooks so I cannot match it with invoice, is there any other way?

Bank charges are also billed to the client on the next invoice, is it possible to bill it too?

‎September 14, 2022 12:10 AM

How do i apply a bank service fee to an invoice?

Glad to see you in this thread, @AG6780. I’m here to help you track bank charges in QuickBooks.

Since your bank isn’t connected to QuickBooks Online, you can simply add the said charges as a service item and a negative amount to the invoice you created.

  1. Open or edit the invoice.
  2. Select an item under Product/Services . You can create a new service item for bank charges if you don’t have one yet.
  3. Enter the amount as negative.
  4. Press Save or Save and close after.

And yes, you can bill it too. Make sure to follow the same process to get your books accurate.

You can use this guide if you want to add transactions directly to your account register: Manually add transactions to registers in QuickBooks Online. It helps you save time.

Moreover, the program offers ways to create a template for regular transactions and make customers' payments organized and connected from start to finish. For more details, see these resources:

I’ll be here to help if you need further assistance with managing your sales transactions. Just add them to your reply below. Keep safe always!