How do I setup Quickbooks and use the High Trek Quickbooks Integration?

Accounting Documentation & Quickbooks Integration

Setup your QB Chart of Accounts

Make sure that you have an account for each of the following categories.

1. Cash Receivables Account

1. This account will be debited every time you receive Cash or Checks as a payment type.
2. We recommend using the existing QuickBooks account called “Undeposited Funds”
3. If you would rather create a different account, create a balance sheet asset account with a type of “Other Current Assets”. Name the account something like Cash On Hand.
4. This account represents the cash in your till and in your venue.
5. When you take a deposit to the bank or deposit a check into your bank account you will see the transaction in your bank account and you should classify the deposit as a transfer from the Cash Account (undeposited funds) into your bank account. The deposit reduces the amount in the Cash Account.

2. Credit Card Receivables Account

1. This account acts as a pass-through account for transactions that go through credit card processing. Both online and card-present terminals will pass through this account.
2. Create a balance sheet asset account with a type of “Other Current Assets”. Name the account something like “CC Receivables”.
3. Each Credit Card Transaction that is processed on a given day is added to a batch. This batch will be processed and hit your bank account on the Next Business Day. Each batch will come through as a separate deposit. So on Monday, you could receive 3 deposits assuming you had transactions on Friday, Saturday, and Sunday.
4. This is a clearing account so all the individual transactions increase the balance of the account and then when a bank deposit occurs it reduces the balance

3. Deferred Revenue Account

1. Deferred revenue, also known as unearned revenue, refers to advance payments a company receives for products or services that are to be delivered or performed in the future. The company that receives the prepayment records the amount as deferred revenue, a liability, on its balance sheet.
2. Create a balance sheet asset account with a type of “Accounts Receivable”. Name the account something like “Deferred Revenue”. NOTE: this might be confusing since the definition of this is that it should be a Liability account. Ultimately that is correct, but our system uses an AR account and it will just have a Credit Balance representing a Liability. You could also refer to this as Customer Deposits.
3. Any time an order is placed for a future date deferred revenue will increase rather than sales being recorded. This will automatically be reversed by the system when the date of the reservation occurs and the balance will be shifted to Sales.

4. Gift Card Liability Account

1. This account holds the balance of all of your outstanding gift cards.
2. Create a balance sheet Liability account with the type of “Other Current Liabilities” named “Gift Card Liabilities”.
3. When you sell a gift card the balance will increase and when a customer redeems a gift card it will reduce the balance in the account.

5. Gift Card Discount Account

1. This account would be a standard Sales Discount account and would only be used in a rare situation where a discount was applied to the purchase of a gift card
2. Create an account of the type of either “Income” or “Expenses”.

6. Non-Itemized Refunds Account

1. This account should be created as an “Income” account.
2. This account will be used when a refund is issued and there are no Items associated with a return or refund. A use case might be when a customer received all of their goods and services so there is nothing to be returned, however, there was a circumstance resulting in a refund being provided due to a poor experience or some other situation.
3. Normally refunds associated with cancellations or returns of a specific item will offset the income account associated with the product line item.

7. Gratuity Account

1. This is the account where tip adjustments and gratuity that is collected will be placed in.
2. Create an Account using the Account Type "Other Current Liabilities" and Detail Type "Undistributed Tips"

8. Additional Receivable Accounts

1. If you create any custom tender types then there will be additional account mappings that you will need to have an account to associate where the funds are going. Examples might be a previous legacy payment solution, Square, or Venmo.
2. These would be pass-through accounts that would be set up just like the credit card receivables.

QuickBooks Desktop vs Quickbooks Online

QuickBooks Desktop is being sunsetted unless you have the Enterprise version and will no longer be supported after May 2023. We do recommend using Quickbooks Online because it is directly integrated. We do support QuickBooks desktop but you will need to import and export data files in the “*.iif” file format

Connect QuickBooks Online to HT POS

To connect QuickBooks to our software login to your account and then Navigate to Admin Tools > Accounting > QuickBooks as shown below.

Next Click on the Connect to QuickBooks

Syncing QuickBooks Accounts to HT POS

After you have connected your QB account to HTPOS, each time you return to the Admin Tools > Accounting > Quickbooks section you likely will need to hit the following button “Click Here to Refresh After Connected to Quickbooks” shown below.

You will then see a Sync menu as Shown Below. You can now hit the “Sync Accounts” button and this will load all of your accounts from QuickBooks into HTPOS. This is a one-way sync and will never do any harm to your QB instance.

On initial setup, your Export Daily Journal Entries will be disabled until you have mapped all of your system accounts. You don’t want to Export your entries to Quickbooks until you have completed the mapping and make sure all of your income accounts are the way you like them. There will be more information in the Export Daily Journal Entries Section.

Product Income Accounts

When editing products, you will see a dropdown for “Income Account”. This list will be populated with the accounts from your QB chart of accounts after you have completed the import process. Select the account that you would like the revenue to be placed when a sale of this item is recorded.

You will notice there is the ability to hit the blue link “Add Multiple Income Accounts”. This will allow you to split the income value of the item into 2 or more income accounts. The use case might be if you were doing a birthday party package where you bundled an Activity, Pizza, and Drinks. In this scenario, you may want a portion of the revenue to go to Activity Sales and the remaining revenue to go toward a Food & Beverage income account. If a discount is applied to the sale the income will be reduced proportionately across the multiple accounts.

Assigning System Accounts

From the Admin Tools > Accounting > Quickbooks page you will see a series of drop-downs which are required to be defined before you can export your journal entries. You must select an account from Quickbooks for each drop-down and then save the results.

Realized Sales, Booked Sales, and Cash Flow

Realized Sales Definition

You may also call this Recognized Sales. Realized sales represent the sales where goods and/or services have been delivered to the customer and the sales amount can be recognized as income and for tax purposes.

Booked Sales Definition

Booked Sales represent the total amount of an order that is placed on a specific date. The order can include products and/or services that were delivered on that day as well as any products and/or services that are scheduled to be delivered in the future.

Cash Flow Definition

Cash Flow represents the actual amount that is received or refunded in a given day. If you make an advanced booking for $300 but only receive a $150 deposit then your cash flow will only be the $150.

Sales Transaction Account Flow Examples

Examples

Export Daily Journal Entries

QuickBooks Operating Procedures for Deposits

QuickBooks End-of-Month Procedures