I'm looking for advice on how to handle third-party delivery fees in our R365 Accounting module. Does anyone have recommendations?
The variance should be posted to Sales and Sales Tax. For example, if you get paid $50 less than expected and your sales tax rate is 7%, post $46.73 as a debit to sales (reducing sales) and debit 3.27 to sales tax payable.
If you are not using a 3PD integration to your POS (or manually entering the orders into the POS, typically there should be some way to get the data from the 3PD site to balance to the payment and you should not have a variance.
However, when you use a 3PD integration (or enter the orders manually into the POS), most often the POS totals and do not exactly match the services totals for various reasons:
1. Missing orders from the POS
2. Pricing difference between the POS and the delivery service
3. Credits that do not get posted to the POS.
At the end of the month we compare the GL AR balance (after posting fees, tips, etc) to the actual check(s) outstanding and post a Sales/Sales tax adjusting entry to get the two to balance.
We have developed a utility to automate much of the process and generate the journal entries to post all the statement adjustments (del fee income, service fees, tips, etc). If you are interested, you can contact me.
Would love to hear your practices on what you do when the data from the third Party Delivery provider doesn't match the actual bank deposit. E.g. Doordash report says it will deposit $3,500, but they actually only deposit $3,450 - suspense account or Cash Over/Short?
I can help!!!
A couple things we want to clarify first:
Does your third Party integrate with your POS?
If yes do the following: