I have an invoice entered through Paypal and they have charged a transaction fee. How do I enter the charge?

Hi there,

Thanks for reaching out. Being able to enter your transactions accurately is important to keep your books precise. I'll be happy to assist you with this.

To record a transaction fee while using a third-party merchant service in QuickBooks Online, follow these steps below:

1. Select + New.
2. Select Receive Payments, then enter all the payment information.
3. Select the checkbox next to the invoice you would like the payment to be applied to.
4. Select Undeposited funds as the deposit to account.
5. Choose Save to record the transaction.
6. Select + New.
7. Select Bank Deposits. You should see the payment you entered in the Select Existing Payments section at the top.
8. Place a checkmark to select the payment you want to deposit.
9. From the Add other funds to this deposit section, enter the amount of the bank service fee charged to you by the credit card company as a negative amount.
10. From the Account section, select the Expense account you usually use in tracking transaction fees.
11. Verify that the deposit amount is correct.
12. Choose Save to record the transaction.

I hope this helps! Let me know if you need any clarification. :)