Paypal Credit Card Fees

Tdub

I use paypal "here" to take credit card payments for medical services. Over a period of 1-2 days there is a balance in my paypal account that i can transfer to my business checking account.

Let's say after 20 transactions i've processed $100. Paypal deducts their fee automatically and leaves $97 available in my account. I then transfer $97 to my business checking accounting and WAVE picks it up as income of $97 which i then classify as a credit card sale.

Problem is the Fee? paypal already deducted the fee, it will never get deducted from my checking account and WAVE will never register it.

Also paypal will 1099 me at the end of the year for the full $100 but my accounting only shows $97, so to the government i am under reporting.

How should i correctly categorize the $97 which mind you is not 1 transaction but could be 5-30 transactions.

Thanks!

AlexL

Hey @Tdub , feel free to check the Help Center article attached below which addresses your issue perfectly. https://support.waveapps.com/hc/en-us/articles/115000472306-How-to-account-for-transaction-fees In addition to the article, you can split your $97 income to different amounts to address all of the different payments.