Depending on your bookkeeping flows, you may need to deduct refunded amounts from the income, or you might want to track refunds as a separate category in your Profit and Loss. Here is how to set this up with Synder.
Overview:
Track refunds deducting them from income
By default, Synder will deduct the refunded amounts from your income associated with a certain product.
Note: No additional setup is needed.
Example:
You have an invoice for $2280 in February.
A partial refund for $1800 happened in May.
The same items from the invoice were used in the refund receipt, so as a result, your Profit and Loss will look like this:
Track refunds as a separate category
If you want to track refunds in a separate category, you can set this up with Synder in a few simple steps described below.
Set up needed:
- Go to your Synder account → find the Settings tab on the left-hand menu,
- Select Create additional settings → Refunds.
- Go to the Products and Services tab, set a Common product for refunds, and select the Refunds item from your books.
- Click Update to save your new settings.
From now on, any synced refund will go to the income account linked to the common refunds item.
If you don’t have your Refunds item setup in the books, you can do it and refresh the settings page. The new item will show up in the dropdown list.
How to set up a Refunds item in QuickBooks Online?
- Open your QuickBooks account.
- Go to Sales → Products and services.
- Click New to add a new item.
- Name your item (Refunds item, for example) and set the Income account field with the value of the desired account (Refunds given, etc.)
Example:
You have an invoice for $2280 in February.
A partial refund for $1800 happened in May.
The same items from the invoice were used in the refund receipt, so as a result, your Profit and Loss will look like this:
Congratulations! Now you know how to track your refunds with Synder.
Reach out to the Synder Team via online support chat, phone, or email with any questions you have – we’re always happy to help you!