The way I do it is to use a control account in the balance sheet for credit sales & the cash register bank account for the cash takings. From the weekly takings I
Dr Credit sales control Cr Vat Cr Income
Then when the credit sales hit the bank, post a nominal receipt to Credit Sales control. That way I can reconcile the credit card sheets to the control account.
For Cash sales I simply post a nominal ledger receipt, from the cash register, to sales and account for vat on the gross receipt. I ask all my clients to complete a Weekly cash sheet, showing opening float + takings - expenditure - bank deposits = closing float. This should then reconcile to the cash register.
When you mention tips, I assume you do mean tips and not a service charge (which is standard rated).
-- Edited by ADAS on Wednesday 6th of June 2012 06:36:42 PM
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Tony
Responses are intended as outline only. Formal advice should be sort from your Institutes Technical Department or a suitably qualified Accountant.
I'm new(ish) to sage and trying to set it up for friend who has opened a restaurant.
What I can't figure out is how to record the sales.
Each day food and drink sales are made which include VAT.
Tips are also collected but there is no VAT.
Each 'sale' can be paid in either cash, amex or via streamline.
The amex and streamline payments appear a few days later as bulk payments on bank account.
I can't just record the bank payments as single non-customer payments because that wouldn't accurately reflect the amount of VAT involved in each payment.
So my question is
a) how do I record the sales/tips etc
b) how do I reconcile the bulk payments that appear on the bank statement.
Hi Tony I'm going to sit and ponder your response, my level of experience being low, so it'll take me a while to digest. I got the cash bit. Its just the control account bit. Not sure how to do that in sage.
However, regarding tips - yes, it is a flat rate service charge being added to each bill but when I pull a report from the till system in place the service charge is shown as attracting no VAT. Is that correct?
Hi Tony Thinking on about your response - do I do a journal to post the debit and credit entries to the various accounts? Linda (sorry for my inexperience)
