When Square deposits the payments, Commerce Sync will deposit the credit card payments from Undeposited Funds into your bank account in Quickbooks.
The deposit settlement will include:
- All of the payments that are included in the deposit
- The Square fees subtracted, associated to an expense account
- Other fees from Square such as Square Capital Payments, these get tracked into an expense account called Square Uncategorized Expenses by default.
- Any additional income that is associated to the deposit, such as processing fee rebates, these get tracked into your Square Sales by default.
The Square fees are associated to a Square Fees expense account by default. Commerce Sync uses an expense account rather than cost of goods sold is because it applies to the method of payment (credit or debit card) and not the actual goods or services purchased themselves.
You can change the deposit accounts in your Commerce Sync settings to redirect these transfer types to another account.
You'll find your deposit information in your bank account in Square. Click on the Chart of Accounts and open the bank account to see this information.
Now that you understand how the deposit information transfers, your next step is to either Install Commerce Sync or take a look at your Commerce Sync Settings.
You can also click here to review the articles on the related invoices and payments that are transferred from Commerce Sync.