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Understanding Shopify Payout Adjustments with Bookkeep

Bookkeep simplifies the process of managing Shopify payouts by automating your accounting with a Payments Deposit journal entry. This daily journal entry records any new deposits made to your bank account from Shopify. Along with deposits, Bookkeep identifies and categorizes various adjustments, such as sales tax withheld, Shop Cash fees, payouts, and marketing expenses, helping you keep your records clear and accurate.

Improved Adjustment Labeling​

To make the reconciliation process even more transparent, Bookkeep has enhanced its system to provide clearer labels for adjustment items in the Payout Journal Entry. Previously, these adjustments were labeled as generic credit or debit adjustments. With Bookkeep’s update, adjustments are now identified with specific labels, allowing for better understanding and easier tracking.

Example showing adjustment mapping in Shopify payout journal entry

Common Adjustment Items​

Bookkeep has encountered and labeled a variety of adjustment items in Shopify payouts. Below are some common adjustments you may see:

  • Shop Cash Adjustments
  • Disputes and Dispute Reversals
  • Flow Commerce (Managed Markets) Adjustments
  • Import Taxes Withheld (commonly associated with Managed Market orders)
  • Facebook & Instagram Adjustments
  • Sales Tax Withheld
  • Refund Failure Adjustments
  • Seller Protection Credits and Reversals
  • Shipping Label Adjustments
  • Shipping Other Carrier Charge Adjustments
  • Shop Cash Campaign Adjustments
  • Shopify Collective Debits
  • Shopify Collective Debit Reversals

How Bookkeep Enhances Your Shopify Accounting​

Bookkeep’s advanced identification capabilities allow you to easily decipher the different adjustments within your Shopify payouts, including the ones listed above. This gives you a clearer understanding of your Shopify accounting and ensures accurate reconciliation.

Additionally, Bookkeep detects when sales tax withheld is removed from your payouts. This feature prevents overpayment of sales tax, helping you manage your taxes more effectively (as discussed here).

If you have any questions or need further assistance, please contact us at [email protected].