Best way to do deferred payments?


G

Glenn Brensinger

The chamber of commerce is offering a program where people buy gift
certificates that are good anywhere in town. If I, as a merchant, accept one
of them, the chamber then pays me the amount of the certificate. How do I show
this in "Receive payments?" I'd be accepting a form of payment, then later
receiving the actual money for it. If I post it twice, my deposits are screwed
up, but if I don't show the customer certificate as payment, it looks like
they still owe me.

Glenn
 
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J

Jack Hatfield

I think this would be a receivable of sorts due from the Chamber and not
Mr. Customer. So, what I would do is when you accept the certificate
you would need to put a charge to the Chamber account, then when they
repay you receive payments would work.

This is a 'feature' you'll have to create not something QB is straight
forward about.

Your customer the person who picks up the merchandise is out of the loop
as soon as they give you the certificate.

Since you don't elaborate if you're using POS or just writing invoices
or what it's hard to get very detailed in my 'ideas' for you.

Experiment around a little ... contact me directly if you like.


Glenn said:
The chamber of commerce is offering a program where people buy gift
certificates that are good anywhere in town. If I, as a merchant, accept one
of them, the chamber then pays me the amount of the certificate. How do I show
this in "Receive payments?" I'd be accepting a form of payment, then later
receiving the actual money for it. If I post it twice, my deposits are screwed
up, but if I don't show the customer certificate as payment, it looks like
they still owe me.

Glenn

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E

Ed Brown

The chamber of commerce is offering a program where people buy gift
certificates that are good anywhere in town. If I, as a merchant,
accept one of them, the chamber then pays me the amount of the
certificate. How do I show this in "Receive payments?" I'd be
accepting a form of payment, then later receiving the actual money for
it. If I post it twice, my deposits are screwed up, but if I don't
show the customer certificate as payment, it looks like they still owe
me.

Glenn
I would treat the certificates as you indicated "Accounts Receivable"
and then apply the payments from the Chamber to their Account. This
allows you to see immediately and keep track of those certificates
not
yet honored by the Chamber.
 
?

_

The customer's certificate is not a cash payment so you will not record it as a deposit.

There are at least a couple of ways to record these transactions. I suggest the following:

- Create an Other Current Asset account called Certificates. This will be the value of certificates you have accepted but have not yet sent to the C of C for reimbursement.
- Create a Payment item called Gift Certificates and link it to the Certificates account. Use this item on your Sales Receipts and Invoices to record the certificates you accept from customers.
- Set up the C of C as a customer.
- Create an Other Charge item called Certificates and also link it to the Certificates account. Use this item to invoice the C of C when you send the certificates to be redeemed.
 
K

KG Lee

The chamber of commerce is offering a program where people buy gift
certificates that are good anywhere in town. If I, as a merchant, accept one
of them, the chamber then pays me the amount of the certificate. How do I
show this in "Receive payments?" I'd be accepting a form of payment,
then later receiving the actual money for it. If I post it twice, my deposits
are screwed up, but if I don't show the customer certificate as payment,
it looks like they still owe me.
This is similar to the "Gift Voucher" control a/c set-up which I implemented
in a retail environment, except that you don't handle the sales of these
Gift Certificates, only the redemption. I used journal postings, but here's
what I think is possible in your case:

Create a new payment method for Gift Cert., a new current asset a/c for the
Chamber, and a new Customer or Other name List for the Chamber.

When receiving payments from customers, use the Received Payments window in
the normal manner but deposit the Gift Cert. to the Chamber's a/c (cannot
deposit to Accounts Receivable).

When you are paid by the Chamber, use Make Deposit window to deposit to your
bank a/c and specify the Chamber's current asset a/c in the "From Account"
field.
 
S

Steph

Why not set up a currency called "gift" or CCD (chamber of commerce dollars)
with a value of 1 to 1 of local (USD or CAN) currency? When you receive
payment from a customer using the gift certificate, you deposit that into
your cash drawer. When you remit the GC's to the chamber and receive a
cheque or cash, transfer the funds from the "GC currency" bank account to
the "local currency" bank account.
 
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G

Glenn Brensinger

Why not set up a currency called "gift" or CCD (chamber of commerce dollars)
with a value of 1 to 1 of local (USD or CAN) currency?
Okay, similar to how I set up "PayPal" as a payable, but marked as not a
deposit. The money from PayPal is already in the account when it gets entered,
so I can't have it deposited again.

Thanks to everyone for the suggestions. To answer Jack's question, I am using
Pro 2002, not Point of Sale.

Glenn
 
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S

Steph

When you create the "gift certificate" currency, create a new bank account
too, call it whatever you like. Then you can just to a transfer when you get
paid by the Chamber of Commerce.
 

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