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K
King-Brown
May 27, 2022
Question

How to apply cash back rewards to itemized purchases on bill?

  • May 27, 2022
  • 1 reply
  • 0 views

I've read some articles but could not find the one matching my situation. Other articles mention how to apply cash back to reduce the credit card bill using the credit button but doesn't apply to the bill itself againt the purchase. The easy answer was to set the bill to the discounted total but I want to preserve the item prices and itemize each product for resale. In other words, the cash back is used to reduce the product costs to a wholesale price to resale again. Cash back is offered by CapitalOne (business account) and can be redeemed on Amazon and other eCommerce purchases. Hope this didn't confuse anyone. 

 

 

1 reply

katherinejoyceO
katherinejoyceO
May 27, 2022

It's good to see you here, @King-Brown.

 

In QuickBooks, you can keep track of the points until you're ready to spend them.

 

These rewards are money in the bank for the company, whether you use them as a credit to pay down a debt or get a check and deposit it.

 

First off, you'll need to create an income account for your points. Here's how:

 

  1. Click on Lists from the menu bar, then choose Chart Of Accounts.
  2. From the Account drop-down, select New.
  3. Select Income from the Account Type window, then click on Continue.
  4. Enter the Account Name and other details.
  5. Click on Save & Close.

 

Then, record the cashback credit. You can follow the steps below:

 

  1. Click on Banking from the menu bar.
  2. Choose Enter Credit Card Charges.
  3. Enter the name on the Purchased From field.
  4. Select the account you created, then enter the amount of the charge.
  5. Click on Save & Close.

 

You can also seek advice from your accountant to ensure that this is the best option for you.

 

For future reference, check out this article learn the reconcile workflow in QuickBooks.

 

If you have any other concerns, please visit the Community again. We're here to assist you in any way that we can.

K
King-BrownAuthor
May 31, 2022

Thanks for replying but you didn't answer my question. There was no mention of points (as none exist) and was informed cashback dollar amounts can't be tracked in Quickbooks as they're based on a percentage of purchases. Please read my original post and reply with anything unclear in my description or the answer to avoid confussion reexplaining what I thought was clear.

 

J
JamaicaA
May 31, 2022

I appreciate you for getting back to us and adding more details of your concern, @King-Brown. I’m here to help you handle your cash back rewards and apply it to the bill.

 

Let’s take care of this one by one. We’ll start from recording your reward as a vendor credit. This way, you can deduct the certain amount from how much you owe as a bill credit.

 

Here's how:

 

  1. Go to the Vendors menu and select Enter Bills.
  2. Click the Credit radio button.
  3. Enter the Vendor name.
  4. Select either the Expenses or Items tab, then enter all the necessary details.
  5. Tap Save & Close.

 

 

Once done, you can run a Vendor Balance Detail report  to double-check the accuracy of the bill credit you've created. Just go to the Vendors & Payables from the Reports menu.

 

 

Whatever action you take, I recommend consulting with a professional accountant for further assistance. They are the ones who can guide you in keeping your financial records accurate and accounting for your transactions accordingly.

 

If you have any other questions about recording rewards in QuickBooks Desktop, don’t hesitate to notify me by adding a comment below. I'd be glad to help.

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