Here we discuss the types of journal entries available for Etsy
Bookkeep enables you to integrate your Etsy store to automate journal entry postings.
The two journal entry postings we automate with Etsy are:
- Sales Summary
The Sales Summary journal entry posts to your accounting platform on a daily basis the sales from the prior day. This aims to capture the gross sales down to the net sales including discounts, refunds, etc. Additionally, this journal entry captures the various fees from Etsy. See below for an example mapping.
*A couple things to note for Etsy sales: you will see that we capture Sales Tax Collected and Withheld. In the USA, tax is withheld and paid by Etsy so we recommend mapping these 2 lines to same accounts since they should net to zero. In Canada, tax is not withheld and must be paid by the Etsy seller. Therefore, the withheld line could be mapped to an account that will later be used to pay the actual sales tax.
*We also recommend mapping the gift cards sold and redeemed lines to the same account since they will affect the same accounts as gift cards are sold and later used.
*For Etsy deposits, there are typically cutoff days where part of a day's sales will be deposited into a future deposit. In these cases, Bookkeep will post 2 entries in a day indicating the split of sales into two deposits. You may see Pre or Post indicated within the journal entry summary to indicate this.
The second journal entry we support for Etsy is the Deposit journal entry. This journal entry captures on a daily basis any new deposits coming to your bank account related to Etsy Payments. Etsy Payments represent any sales that were processed by Etsy resulting in an increase to your Etsy balance. This Etsy balance is then decreased any time there is a deposit to your bank account which is captured in this journal entry. The Etsy Reserve Balance below indicates any money withheld by Etsy. See below for an example mapping:
If you have any questions regarding our Etsy journal entry templates, feel free to reach out to firstname.lastname@example.org.