How to handle payments that are paid out of a Paypal account and are then automatically debited to the main Current Account

Zumzum Financials Knowledge Base

    Issue

    We have some payments that are paid out of a Paypal account and are then automatically debited to the main Current Account.

    Solution

    We would propose that you create a separate nominal code for the PayPal bank account. The general process would be:

    1. Create a nominal code for the Paypal bank account (in the bank accounts range)
    2. Create a nominal code for the Paypal transaction fees (in the overheads range)
    3. Create your Paypal Bank Account
    4. Record the Sales/Bank Receipt on the Paypal Account
    5. Record the Paypal transaction fees f. Transfer Funds from the Paypal bank account to your current bank account This process would provide greater visibility into the transaction and associated fees
    in BankSales