Invoice - sales fee commission
JulieAnnArts_30
Member Posts: 2
I need to be able to deduct 30% of the total invoice figure for gallery sales commission of my Products. I cannot work out how to do this on the invoice. Any help would be appreciated.
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Hi @JulieAnnArts_30 . If you're simply looking to add a discount to your invoice, the best way to do this would be to add a new product or line item in your invoice with the specific amount as a negative. For example, if your total invoice cost is $100, you can add a product with the price as "-$30" which would bring the total amount down to $70. If I'm getting this wrong and what you're looking to do is account for this 30% in a specific way, please let me know about your workflow and exactly how your sales process works so I can provide you with the proper steps to account for it.
Hi Alex.
I Hand make items and sell in various venue on a sale or return and am charged 30% commission on the overall shop sale. I have to itemise the products so unless there is another way making a - for a product each month at the value of the commission may work. Am I able to delete or change this in the product details each time without it having an effect on previous invoices?
Thank you for your help
Julie
Hi @JulieAnnArts_30 . From your last post, this is what I understand that you're saying. Venues sell your products on your behalf, and you invoice your customers after the venue has facilitated the sale. If this is true, you can definitely change the price of the product and it will only affect invoices moving forward, but this will only accomplish showing this on the invoice, instead of actually accounting for it properly. I'm afraid there's no real way to actually have this accounted for from step 1 of the invoice, so you would have to invoice for the full amount and then account for it in your books afterwards. Also, because Wave doesn't fully support Consignment sales, you can follow the steps to the workaround below which should properly account for everything in your books.
Let's pretend you sold a product for $100 from your invoice which you now need to pay the venue $30 in commission for. In your Chart of Accounts page, set up a Liability called "Due to Venue X" or something similar. You can add this under "Expected payments to vendors."
After your customer pays you, you will add an Expense transaction for $30 in your Transactions page, and select your payment account as "Due to Venue X." . The transaction window will look like so:
This will raise your balance due to this specific venue to $30, and then when you're ready to pay this off to them, you can record it like you would a credit card transaction payment (see the following article: https://support.waveapps.com/hc/en-us/articles/208621616-How-to-create-a-transfer-between-two-accounts-e-g-categorize-a-credit-card-payment-). This will accurately show owed money in your accounts, as well as you paying it off.
For your own purposes, I would create a different Liability account for each vendor (Vendor X, Vendor Y) just to ensure that your balances to each of them is kept separate, and that it's easier to track.