Record processor, settlement date, gross activity, refunds, fees, reserves, chargebacks, and net amount. Keep the report version and period; a bank deposit alone cannot explain components.
Merchant fee reconciliation from gross sales to net settlement
Use processor reports and bank settlements to explain fees, refunds, reserves, and timing in the cash trail.
Published · 8 minute read
The short answer
- Keep the source evidence and decision boundary explicit for merchant fee reconciliation.
- Use an exception owner and next action whenever the record does not support a conclusion.
- Review the completed packet against the ledger before the period is closed.
Start with the settlement report
Tie the net to the bank
Match the reported net settlement to the deposit, allowing for bank timing. Label differences as pending, split settlement, reserve movement, currency effect, or unresolved.
Keep fees and refunds distinct
Separate processor fees, customer refunds, chargebacks, and reserve releases. Preserve original transaction or settlement references so the path from sale to cash remains traceable.
Review aging differences
The exception queue shows settlements not deposited, deposits without reports, and components that do not tie. Review aged items with the processor owner or finance reviewer.
Make the handoff reviewable
Keep the final packet with its source links, status, reviewer, and next review date. A clear preparation boundary lets Offshore Bookkeepers support recurring finance work while the business keeps control of approvals and accounting decisions.
Questions owners ask
What can a bookkeeper prepare?
A bookkeeper can gather source records, perform documented comparisons, maintain the schedule, and flag exceptions. An owner, controller, or CPA should retain approvals, accounting judgments, policy decisions, and payment authority.
What makes the review complete?
The reviewer should be able to trace the population, source evidence, recorded result, open exceptions, and approval or next action without relying on an informal conversation.