Postage & Delivery

MrsODonoghueMrsODonoghue Member Posts: 4

Our customers pay for delivery. We therefor use refunds for Shipping & Delivery Income so the account shows zero. How do we then credit the Postage & Delivery expense account that is used for delivery bills so that it also show zero? I hope this makes sense.

edited April 22, 2020 in Using Wave

Comments

  • MrsODonoghueMrsODonoghue Member Posts: 4

    Or should we just remove the refunds from the Shipping & Delivery Income so that it offsets the Postage & Delivery Expense account?

  • EmmaPEmmaP Administrator Posts: 639 admin

    Hi @MrsODonoghue! Thanks for reaching out here. You mentioned that your customers pay for delivery. When your customers pay for the delivery fees is this added as a line item to the invoice and included in the invoice total? Or is the shipping calculated separately? If you are able to provide some further detail about how your customers pay the delivery fee we would be happy to dive into this with you further! :)

  • MrsODonoghueMrsODonoghue Member Posts: 4

    Emma,
    thanks for the response. I think we have figured it out. Delivery is an in line item on invoices charged to the customer (Shipping & Delivery Income Account). Delivery services are paid by us on the customers behalf (Postage & Delivery Expense Account). Once transactions are complete we have added two transactions in Accounting/Transactions: An expense equalling delivery costs (Refund for Shipping & Delivery Income) and An income equalling delivery costs (Refund for Postage & Delivery). This results in both our Shipping & Delivery Income Account and Postage & Delivery Expense Account equalling zero.
    If there is an easier way to do this (that does not require additional transactions added for each delivery) or we are incorrect in the above method please let us know.

    Thanks muchly :)

  • MrsODonoghueMrsODonoghue Member Posts: 4


    Just to further clarify above is a screen shot. The customer's invoice totals 70,000rp, 10,000rp of which is Shipping & Delivery. We then pay GoJek (delivery service) 10.000rp (Postage & Delivery). Upon completions an income refund and expense refund transaction are added.

  • BarsinBarsin Administrator Posts: 1,811 admin

    Hey there @MrsODonoghue

    Could you use a journal transaction instead of refund transactions debiting the income account and credited the postage and delivery account? This might give you a similar balance for your records! Let us know.

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