Managing payouts received by your organisation is often time consuming and accompanied with human errors, which is due to the many steps that need completing. In this post, we walk you through the process and explain how to simplify and streamline it.
Managing payouts received by your organisation is often time consuming and accompanied with human errors, which is due to the many steps included in the process.
What happens is that an infoodle form (usually built into a website page) captures a payout, which can be a donation, a pledge, or a payment for a ticket or an item. At the same time as it charges your donor’s credit or debit card, it collects information about them (their name or address).
Once the form is submitted, the information goes through to Stripe. If a person donated or paid $10, a small percentage of the amount is retained by Stripe as a fee for the transaction - typically 2.9% + 30c. Thus, in reality, the amount of money received by your organisation is smaller than the amount donated or paid. It is important, however, to record the original amount and to give your donor a correct receipt: if they donated $10, this is the amount the receipt should indicate.
Once Stripe pays you, which can take a few days, on the infoodle screen you will be able to see the payout record that reflects on your bank account.
Stripe pays into the bank account and Xero pulls that information ready for reconciling. infoodle automatically pulls the payout information from Stripe and with one click does extensive checking to ensure everything is in order (any problems will be reported to you) and generates the record for the donor's profile. infoodle matches the line items in the payout with the form data captured at the start of the process - so $10 donated is matched with $9.41 + fees from stripe.
Now from infoodle you are able to receipt the $10, and push the breakdown of the payout to Xero which includes the gross amounts (as a "receive money" transaction) and the fees (as a payment transaction).
The process is semi-automated and allows you to complete the task with only 2 clicks.
Here at infoodle, we understand that for volunteer operated charities and non-profit organisations, time is of the essence and is better spent serving the community and working for your cause, rather than doing paperwork.
infoodle Finance package allows you to do just that: put your people over paperwork by simplifying and streamlining your financial processes.
In addition, infoodle helps you avoid human errors: all transactions are accounted for, nothing goes unnoticed or gets forgotten, and all receipts are issued on time and are shared with the right people.
To learn more about how infoodle can help you with managing payouts and reducing time spent on tedious administrative tasks, book a demo or check our calendar to attend the next Finance package training.