When you apply fees and charges to people on the system, i.e. management fees, admin fees, etc, the system produces a total balance based on the charges which have been both invoiced and paid. This balance is what you can safely draw down as profits. You would need to show the system that you are drawing down these funds and then you would make the real life movement out of your client account and into your business account in the real world.
The end result will be that the system produces a payment group for the amount you've draw down and you would have a real life statement entry showing the transfer out of our client account - these two will be linked and reconciled against each other, completing the draw down process.
To conduct a draw down on the system, you will need to select the 'Accounting' tab.
You will then need to select 'Bank accounts'.
Next you will have to select the 'Client account'.
Select 'Drawn down paid sales' in the ladder bar.
We strongly advise you to export and save the files for Paid Sales and Unpaid Sales before doing anything further, as once you do the draw down, these reports will clear and won't be retrievable again.
Select the box next to the account balance that you want to draw down.
Once the files are exported, you are free to select 'Draw Down Paid Sales'.
You will be able to see how much is available to draw down - as we have mentioned, these are figures based on any charges which have been invoiced and paid.
Select 'Confirm drawdown paid sales'.
This will create a payment group which will await reconciliation - Now you can transfer the money across accordingly between your client account into your business account. You would reconcile this statement entry showing the debit out of the client account against the outgoing payment group which was automatically created upon drawdown.
Additionally to the Draw Down Paid Sales section, we've added a new report option where you can download a Xero accounting software compatible CSV file that can be used to upload paid invoice details into Xero:
Follow the normal processes for Draw Down Paid Sales by selecting your desired branch, then prior to completing the draw down select the Export Paid Sales - Xero report. Once downloaded you can complete your draw down in the usual way and then upload this file to your Xero accounting software to reflect recent changes: