Financially speaking, pre-deducting means that the reservation's source collects their commission directly from the guest payment. It is up to the source whether or not they pre-deduct.
When you add channel commission to your Guesty account or a specific listing, you can select pre-deduct for reservations that were not made through a booking channel, such as manual reservations or reservations that were made through the Guesty Booking Website or an agency that is not connected to Guesty. If you select pre-deduct, Guesty will know to represent the commission in the financial breakdown of the reservation as a negative amount in the guest invoice, under "channel commission". The reservation's total will then be calculated minus said commission.
Since non-booking channel sources do not update Guesty with information or data, we recommend selecting pre-deduct for every source that pre-deducts their commission, to make sure it is accurately represented in the guest invoice.
If a reservation is made through a booking channel that pre-deducts their commission, Guesty will represent this information in the guest invoice if it is provided by the channel.
Channel commission is not pre-deducted from Vrbo reservations. Vrbo reservations in Guesty that were created manually based on a reservation in Vrbo, for example, but not imported from Vrbo must match the guest invoice and payout of the original reservation in Vrbo.