Kolleno's native integration with Quickbooks allows you to reconcile payments made via Kolleno Customer Portal automatically.
Pay in reconciliation
This is to record an invoice being paid through the Kolleno portal and the relevant Payment Service provider (PSP)
When an invoice is paid through Kolleno the following payment flow will take place.
Thus the invoice will be automatically marked as paid. It is important to note that from an accounting perspective as you have not yet received they money from your PSP, this amount will be noted in the Unallocated funds account which should be used as a holding/clearing account noted below.
Payout Reconciliation Automation
On payout from the PSP such as Stripe , GoCardless etc the following will take place.
A Deposit shall get created in Quickbooks. This Deposit will record the following.
The actual payment received from the Payment Service Provider.
The processing fee where appropriate from the PSP.
This gets created on the deposit object itself as a negative value.
This will also create an expense to the relevant supplier noted in the
vendoraccount.
The memo will record the
payout IDfrom the payment service provider
This payment flow can be illustrated as follows.
In Quickbooks the following effect will take place.
Deposit Creation
Accounting Journal effect
*Important - There will be a short period where the payout from the PSP includes invoices that were paid before the reconciliation was turned on (but not yet paid out) - when the payout automation takes place, this whole payout will not be automatically captured due to the fact that there is a split in the payout of invoices that were previously captured vs invoices which were not.
*The undeposited funds ledger account needs to be recorded as an undeposited funds account in quickbooks as the detail type/sub account type.
*If your undeposited funds account is recorded as another current asset account type, the automatic payout will not work due to Quickbooks not allowing a deposit to be created.
Example of how to setup in Quickbooks.
To activate this feature in Kolleno, follow these steps:
Go to Settings > Payments.
Select a payment provider.
Select which currency you are getting paid out in. (you can have multiple setup)
Once selected fill in the relevant fields below. Click save, and reconciliation is now activated.
