Overview:

To handle payments made through a PayPal account that are automatically debited to the main Current Account, it is recommended to create a separate nominal code for the PayPal bank account in Zumzum Financials. This involves setting up a nominal code for the PayPal account within the bank accounts range and another for PayPal transaction fees within the overheads range. By recording transactions and fees in the PayPal account and then transferring funds to the main bank account, businesses can gain better visibility into these transactions and associated fees.

Issue: How to handle payments that are paid out of a Paypal account and are then automatically debited to the main Current Account

We have some payments that are paid out of a Paypal account and are then automatically debited to the main Current Account.

Solution

We would propose that you create a separate nominal code for the PayPal bank account. The general process would be:

1. Create a nominal code for the Paypal bank account (in the bank accounts range)
2. Create a nominal code for the Paypal transaction fees (in the overheads range)
3. Create your Paypal Bank Account
4. Record the Sales/Bank Receipt on the Paypal Account
5. Record the Paypal transaction fees f. Transfer Funds from the Paypal bank account to your current bank account This process would provide greater visibility into the transaction and associated fees

Learn more about Cash Management for Zumzum Financials.