Setting the currency for Vendors and receipts

cyphix333cyphix333 Member Posts: 39 ✭✭

Just wondering if there is any other purpose for this functionality other than Wave attempting to automatically calculate the correct amount in your local currency for you?

I ask because I do set this when required, however because currency rates fluctuate all the time, whatever Wave comes up with is usually a few cents off, so didn't see much point in using it as it's not actually what my expense was - unless there was any other functional reason for setting this?

Cheers!

Comments

  • AlexiaAlexia Member Posts: 3,314 ✭✭✭✭

    Hi, @cyphix333,

    If you record a receipt or an invoice payment in a foreign currency in Wave, and you assign it to an account in your own currency, it will always be converted according to the mid-market exchange rate from XE.com. That might not match up with the rate used by your bank and it won't take into account any fee your bank might charge for currency exchanges.

    If you assign it to an account in that same foreign currency, however, it'll just be sent there as an income or expense, just like any other invoice or receipt payment. This is when this feature shines, when you have bank accounts in different currencies in this way.

    I hope this clears things up. If you have more questions, I'd love to help.

  • cyphix333cyphix333 Member Posts: 39 ✭✭

    Great - thank you!

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