Setting Up Payment Accounts for Internal Transfers

In order to send internal transfers to your accounting system, you'll need to set up specific Payment Accounts to accommodate your transfers. The Payment Accounts you create will depend on which configuration you select for processing internal transfers. 

Internal Transfer Payment Account Configurations

When completing initial setup for internal transfers, you will notice that there are three different ways to configure your payment account setup for internal transfers. 

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Below is an explanation of each type of configuration:

Use one payment account for all transfers to and from this restaurant

This configuration allows you to pick one payment account to close all internal transfers to and from your restaurant.

For this configuration, you may just want to create one payment account called "Internal Transfers".


Use different payment accounts for each restaurant

This configuration allows you to pick different payment accounts to close internal transfers to based on where the transfer is coming to and from.

For example, if you are Restaurant A and you have two other restaurants, you could set up separate payment accounts for "Transfers To/From Restaurant B" and another for "Transfers To/From Restaurant C". 

The advantage of this configuration is that it will allow you to split out internal transfer activity by restaurant in MarginEdge and your accounting system.


(Advanced) Use different payment accounts for each restaurant based on the direction of the transfer

This configuration allows you to map different payment accounts to internal transfers based on both the direction of the transfer and who is sending the transfer.

For example, if you are Restaurant A and you have two other restaurants, you would create 4 separate payment accounts:

  1. Transfers to Restaurant B
  2. Transfers from Restaurant B
  3. Transfers to Restaurant C
  4. Transfers from Restaurant C

The advantage of this configuration is that it will allow you to split out internal transfer activity by transansaction type so you can easily identify exactly how much you are transferring to and from each restaurant. 

 

Creating Payment Accounts

Once you have selected your configuration, you can now select the appropriate payment accounts. If you have not already created your payment accounts, you can do so by going to the Accounting > Payment Accounts page. These payment accounts should be set to “Account Type - Other” which specifies that instead of an invoice or bill being sent to the accounting system, a journal entry will be. Once you have named your payment accounts in MarginEdge, you will want to map them to a balance sheet account in your accounting system which will accommodate these transfers. This balance sheet account is typically an “other current liabilities” type account; note we cannot export internal transfers to an Accounts Payable or Accounts Receivable account

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