How do you account for fees taken out of sales before deposits are sent to the bank?

We are, in affect, already capturing the loss of fees "off the top", taken from your sales before money is sent to your bank.  We only report the net amount you receive, i.e. only the amount that hits your bank, so the fee loss is already factored in. In other words, reporting gross invoice amount less fees is the exact same thing as reporting the net amount after the fees are taken out.

 

This is one of the ways in which we "keep it simple" and this what "cash basis" accounting is all about. 

 

See Also How does my Bookkeeping Service work?
See Also What is a clean, simple set of "cash basis" tax books?
See Also How do I grow my account beyond a simple set of tax books?