How to Account for Sales Transactions and Track COGS with Synder

How to Account for Sales Transactions and Track COGS with Synder

In the fast-paced world of e-commerce accounting, managing multiple payment processors and platforms can be a daunting task. However, modern technology offers comprehensive automated accounting tools that can revolutionize the way accounting and bookkeeping professionals handle most complex finance data. 

In this blog post, we’ll follow Jill M., a CPA with 15+ years of experience, and her journey of exploring Synder – a cutting edge software solution that was able to transform her accounting practice by offering a wide range of integrations with popular sales platforms, payment processors, and accounting software, unlimited historical data import, COGS and inventory tracking.

Jill’s problem with data sync and COGS tracking 

The hero of today’s accounting success story, Jill M. had a new client, an online retailer operating through Amazon and Shopify and using AmazonPay as a payment provider for Amazon, and PayPal and Shopify Payments for the Shopify platform. One of the accountant’s  major issues was the problem of integrating sales and payment channels with the accounting system she was using at that time. Their number was limited, while the existing integrations were unreliable. These issues now and then resulted in errors like missed transactions and inaccurate fee calculations when she was syncing the client’s sales data with the books. So Jill started to look for a comprehensive solution that could improve this process, eliminating discrepancies and ensuring accurate data synchronization and efficient tracking of COGS.

Synder offers a solution

After doing some research and reading customer feedback, Jill set her eye on Synder, which proved to be the perfect tool, capable of addressing all her requirements effectively.

25+ integrations

One of Syner’s key benefits for Jill was its outstanding ability to seamlessly integrate with over 25 payment processors, including PayPal, AmazonPay, and Shopify Payments,  e-commerce platforms, like Amazon, Shopify, eBay, Etsy, to name a few,  and popular accounting software such as QuickBooks or Xero. This all-in-one tool eliminated Jill’s necessity to manually enter data by enabling her to import transactions from various platforms into one location. This is how she comments on that:

Synder saved me hours of manual work. I could easily import transactions from Shopify, Amazon, and the fees from the payment processors my client uses into QuickBooks Online, and get accurate and up-to-date books.

Synder Daily Summary

As Jill’s client has a big e-commerce business with quite a number of daily transactions on several platforms using three different payment gateways, she opted not to import details of every transaction into the books as it’d give her tons of unnecessary information she’d have to deal with.So she went with Synder’s Daily Summary feature which  provides a single journal entry a day for each connected integration. The journal entry encompasses all the transactions including sales, fees, refunds, taxes, shipping, discounts, gift cards, etc. that happened within this period in a more generalized way, which seemed to be a good fit for Jill’s client. 

Unlimited historical import 

Synder’s Daily Summary tool took Jill’s bookkeeping processes to the next level with its unlimited historical import. With Synder, Jill managed to easily import all historical data for her new client, bringing their accounts up to speed.

With Synder, I could effortlessly import and sync historical data in just minutes. And if I needed to correct any entries or redo them, I could use their rollback feature to delete everything from QuickBooks in bulk.

The tool’s duplicates checker also ensures that Jill’s clients’ books are accurate and clean.

COGS  tracking

Another requirement of Jill’s client was tracking COGS – Cost of Goods Sold – a vital metric to keep an eye on for an e-commerce business. Synder Daily Summary enabled Jill to import her clients’ inventory cost lists and have COGS automatically calculated.

Synder’s COGS capabilities were what I’d been looking for for ages. Based on the imported cost list of my client’s inventory,  now I’m getting COGS automatically calculated by the number of items sold. And after this, my client’s synced Journal Entries accurately reflect the increase in COGS and decrease in inventory assets on an accrual basis, which guarantees precise financial statements.

Reconciliation based on clearing accounts

Synder’s Daily Summary tool simplified the reconciliation process for Jill by utilizing clearing accounts. This ensured accurate recording and matching of transactions from Amazon and Shopify and the payment processors her client employs (AmazonPay,  PayPal, and Shopify Payments) to bank statements.

Synder uses clearing accounts for each connected platform, I reconcile each of them, and it finally lets me feel secured. I could connect to my client’s platforms, import data to separate clearing accounts, and when the payment processor transferred money to the bank, Synder recorded the exact amount, balancing the clearing account to zero. The checking account perfectly matched the bank feed.

Summary

Jill M.’s experience of using Synder’s solution showcases how it changes e-commerce accounting. With seamless integration with multiple payment processors and sales channels, unlimited historical import, reconciliation based on clearing accounts, COGS and inventory tracking, and many other powerful features, this accounting software simplifies bookkeeping, eliminates manual data entry, and ensures accurate financial reporting. 

If you’re an accountant seeking a streamlined accounting solution for e-commerce businesses, embrace Synder’s powerful functionality to transform your bookkeeping process and unleash the full potential of your clients’ financial management. Synder’s Daily Summary tool empowers accounting and bookkeeping professionals like Jill M. to efficiently handle the complexities of e-commerce accounting, saving time and reducing errors. 

Don’t think twice, test Synder now by signing up for a 15-day free trial (no commitment or credit card required) or book office hours for a live session with Synder’s support specialist. They’ll be glad to guide you through the process of using and setting up Synder, as well as answer any arising questions 24/7.

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