This document will show you how to set up your QuickBooks interface such that credit card reconciliations work correctly; it will drastically improve the speed and accuracy with which you are able to reconcile your bank statement.
Setting the Shift Date Change Time
- Verify the time in which your brick-and-mortar credit card processing auto-batch occurs.
- In the following example, auto-batching occurs at 4:00 a.m. EST.
- From Manager Console, click Maintenance.
- Double-click System Settings
- Double-click General System Settings.
- Open the Dates & Times tab.
- Select the Shift Date Change Time to match the credit card auto-batch time including accounting for time zones.
Setting the Authorize.net Auto-Batch Time to Match CenterEdge
To make your e-commerce credit card processing auto-batch match the CenterEdge Shift Date Change Time, change your Authorize.net account to auto-batch at the correct time.
- Log in to Authorize.net.
- Click�Transaction Cut-off Time.
- Select the Transaction Cut-Off Time that matches the CenterEdge Shift Date Change Time, accounting for time zones.
- Click Submit.
Mapping your Credit Card Types to QuickBooks
- In QuickBooks, add a new G/L account called "Credit Card Clearing Account".
- Sync your QuickBooks G/L accounts to CenterEdge.
- Map your Credit Card Types to this new clearing account.
Understanding the CenterEdge Credit Card Reconciliation Report
Collect your bank statement for the same period, plus a few extra days at the end. Review this report in tandem with your bank statement to determine how your merchant processor sections its deposits. Merchant processors sometimes separate different card types (e.g. Debit or Amex might be deposited separately), but typically there is at least one deposit for each station type (e.g. standard, kiosk, online).
- There are typically at least three deposits on your bank statement, one for each station type.
- In the example - $3,601.36 for General, $40.00 for Kiosks and $192.25 for Online.
- If, however, Amex was deposited separately each day for the General merchant account, you might have 4 deposits for that day.
- In the example - $54.25 for General Amex, $3,547.11 for General Other, $40.00 for Kiosks and $192.25 for Online.
Once you determine how the deposits clear for your business, be sure to save this information because you will need it in the future. Calculate the deposits for each day that correspond to the different amounts that will be deposited into your account. If your merchant processor splits their deposits by card type, there will be multiple deposits for each day. You can also export this report to Excel and use Excel to total the deposits for each day.
Understanding the QuickBooks Credit Card Reconciliation Report
The Credit Card Reconciliation report in QuickBooks sets the date based on the CE shift date. These deposits should be from the Credit Card Clearing G/L account and to the bank account that ultimately received the deposits. If the merchant processor does not split the deposits by card type, one of the three deposits for that day would appear as the example bellow.
After entering these figures, you can verify that your deposits total correctly by looking at the credit card G/L account. There should be several debits for the day from the CenterEdge general journal entry and several deposits each day all totaling 0.
Bellow is the G/L activity for account 114.00 (the credit card clearing account) for 1/29/16.
Notice that the first three lines are debits corresponding to the three deposits we made based on the Credit Card Reconciliation report. The last 4 lines are the lines from the General Journal Entry from the CenterEdge sales summary export. The deposits that you just entered should match your bank statement.
These figures match the credit card lines from the End Of Day Balance Report. Notice also that the ending balance is 0.
- If the ending balance is not 0, then there is an imbalance somewhere that should be investigated.