When syncing payments from Docket into QuickBooks Online (QBO), we recommend sending them to Undeposited Funds instead of directly into a bank account. This makes reconciliation easier and prevents duplicate revenue.
Benefits of Using Undeposited Funds
1. Match Bank Deposits Accurately
- Payment processors like Payrix often combine multiple customer payments into a single lump-sum deposit.
- With Undeposited Funds, you can group those individual payments into one Bank Deposit in QBO that matches your bank feed exactly.
2. Prevent Duplicate Entries
- If payments post directly to a bank account in QBO:
- Each payment appears as its own deposit.
- Your bank feed usually shows one lump sum.
- This mismatch causes duplicate deposits, reconciliation issues, and extra cleanup.
3. Track Processing Fees
- When creating a Bank Deposit from Undeposited Funds, you can subtract processing fees (e.g., Payrix or card fees).
- The gross payment is recorded as income, while fees are tracked as an expense.
- The deposit then matches your bank feed.
Example:
| Description | Amount |
| Payment from Customer A | + $500 |
| Payment from Customer B | + $500 |
| Merchant Fee | – $30 |
| Total Deposit | $970 (matches bank feed) |
Comparison: Undeposited Funds vs Bank Account
| Method | Result |
| Sync to Undeposited Funds | Payments grouped into deposits that match the bank feed. Fees tracked properly. Easy reconciliation. |
| Sync directly to Bank Account | Each payment appears as a separate deposit. Doesn’t match grouped bank deposits. Creates duplicates and reconciliation issues. |
Summary
- Always sync Docket payments to Undeposited Funds.
- Use Bank Deposit in QBO