Accounting users can take advantage of using Guesty's own payment processor, GuestyPay, and eliminate the manual work required to track the processing fees that are associated with all payment processors.
For GuestyPay credit card commissions, Guesty will receive the exact amount of the commission expense per transaction. You can automate GuestyPay transactions with Accounting in the following ways.
Tip:
Split or charge the GuestyPay processing fee to the owner in your business model expenses.
Activate GuestyPay automations
- Sign in to your Guesty account.
- In the top navigation bar, click the mode selector and select Accounting mode.
- Click Setup.
- In the left-side menu, click Automations.
- Toggle on to activate the following options (see details below):
- Create journal entries for commission fees
- Enable GuestyPay rolling reserve journal entries
- Group transactions
Journal entries for commission fees
GuestyPay commissions are automatically recorded in your posting journal. Two journal entries are created, debiting the Accounts Payable ledger, and crediting the Cash ledger.
For example:
Your guest pays $1000 for their reservation. The GuestyPay commission fee is 3%, or $30. Two journal entries are automatically created as shown below.
GuestyPay Rolling reserve
Rather than creating one entry for the total guest payment amount, GuestyPay rolling reserve automation will enter the payment from the guest based on your agreement with GuestyPay.
No additional setup is required on your part.
For example:
90% is deposited into the bank on the transaction settlement date, and the remaining 10% 90 days later.
You process the guest's credit card for $100 on Jan 1. Two payment journal entries are created automatically: A credit to the Cash ledger for $90 on Jan 1, and a credit to the Advanced Deposit ledger scheduled for Mar 31.
Note:
If you have selected cash basis over accrual basis for your accounting, not all transactions will flow off the guest account until they are funded. This means that potentially 10% of the reservation transactions will not flow off the guest account until 90 days after the last payment is received.
Group transactions
Group transactions help with your bank reconciliation process and allows auditors to see the relationship between payments received in Guesty and transactions in your bank account.
You can automatically group daily GuestyPay transactions into batches for simplified bank reconciliation.
Important:
Group transactions should only be activated in conjunction with the first two options to ensure accurate reconciliations. Without activating commission fees and rolling reserve, transaction grouping may not match your bank records.