Recommended Settings for Amazon Sales Channel with Webgility Online
This article will guide you through the recommended settings for Amazon sales channel connection with Webgility Online.
There are two methods available for posting Amazon Settlement Reports:
Post each order separately either as a Sales Receipt or an Invoice using Transactional methods.
Consolidate orders and create a Journal Entry using the Summary option.
To set up the configuration, Navigate to Connection > Sales Channels > Preferences. Then, choose the Preferred Accounting Method option from the dropdown menu under Preference settings.
In the preferences settings, navigate to the "Sales Channel to get orders from" option. Select all the sales channels where you handle orders, like Amazon United States, Canada, Mexico, or Brazil. Make sure to leave unchecked any sales channels where you don't process orders.
To post orders using the Summary option as a Journal Entry, please refer to Amazon Reconciliation with Webgility Online
With the Transactional method, you can record orders either individually or consolidated as invoices or sales receipts, along with handling refund orders and settlement reports, directly within QuickBooks.
Follow the recommended steps to configure the Transaction orders posting outlined below:
1. Go to the Sync Settings located in the lower-left navigation. Select the dropdown menu and configure the settings for each option individually.
The top menu of Sync Settings updates to reflect the modification in the transactional posting.
Orders Tab
On the Orders tab, you will set up how the individual transactions will manifest in your accounting solution. The below-recommended settings are ideal for most customers.
Select Sub-Channels
Please configure the settings for each Sub-channels and save the settings. (the sub-channels that show here can be edited in the Preference of the Connection settings).
Note: When posting transactions for multiple sales channels like Amazon Canada, Mexico, and the United States, it is advisable to create separate charts of accounts based on the native currencies to accurately record sales, refunds, and expenses.
It's advised to click on the Refresh Settings icon before commencing the configuration. This ensures that all the latest QuickBooks Online data necessary for the settings will be downloaded and updated.
Select Single transaction types
Post the transactions as Sales Receipts or Invoices
Deposit to a clearing account (highly recommended) or undeposited funds
The payment method should match As on Sales Channel
Transaction numbers should be assigned by QuickBooks
Transaction date as Order Date
Shipping date as Shipping Date (note unshipped orders will default to order date)
Select Online Order #
Enable this option so QBO transaction history will show that the transaction was synced by Webgility.
Message displayed on the sales receipt, select None, no default message displayed
Product description as Online Product Name
The reference number is set to Order#
This option can be left disabled.
Choose the "None" option if you prefer to hide the email ID in the transaction.
Advanced Settings
These settings expands into several optional settings. These can be left deactivated until you have a specific need for these options. Make sure you Save the settings before moving on with the configuration.
Products Tab
The Product Settings area is where you determine your matching criteria between your sales channel and QuickBooks. Most commonly this is done by linking the Product SKU from the sales channel to the QuickBooks Item Name.
This screen also dictates how Webgility will behave when a product does not match automatically with an item in QuickBooks Online. The recommended choice here is to Map the Product to what it should be, this will prompt you to Map it accordingly when an order is posted.
NOTE: The displayed option in the image pertains to item creation. If an item does not match anything in QuickBooks, you will be presented with the choice to either Map Item or Create Item, based on the settings you assign below the selection.
Product sync
Enable handling time (in days) enabling this option will allow you to update handling time while syncing the quantity from Webgility. (This setting is optional)
For more information on handling time please refer to this Article
Customers Tab
In general, sellers choose not to record the Amazon customer details in QuickBooks because of restrictions from Amazon Seller Central. This platform does not provide access to primary contact details such as phone numbers or email addresses. Furthermore, Amazon prohibits sharing FBA customer information. Therefore, it is highly recommended to employ a standard customer and consolidate all Amazon sales under a designated customer profile in QuickBooks.
Before starting the configuration for Customer Settings please download the customer data from scratch by selecting Download from Scratch and then selecting the Refresh icon.
To set up the Customer's settings for using the Standard Customer:
Begin by turning off both customer matching criteria.
Choose the dropdown menu for the following option: "If the customer is not found, then," and select the option "Use a Standard Customer Instead." Then, continue with the process.
Once you've chosen the standard customer option, it's now time to select a standard customer from QuickBooks where you want to record the Amazon sales and refunds.
Scrolling down further, you'll come across another option: 'Select a different customer for FBA orders.' This feature enables you to utilize two standard customers based on FBM and FBA fulfillment channels. With this option, Webgility Online will record FBA and FBM sales separately based on the chosen customers.
Set up the Customer's settings to record the FBM customers:
Customer Settings allows you to choose how to match the existing customers in QuickBooks.
The default settings here, FirstName LastName, and Email to Email are the settings we find work the best for most situations. The other settings on this page are how Webgility will create a new customer when there is no match to an existing one in QuickBooks Online.
After finishing the setup here, Save the settings before moving on.
Discounts Tab
Discount Settings allows you to select a discount line item to use when posting a discount to QuickBooks. Select Save to complete the settings.
Note: If you choose to keep this option turned off, Webgility Online will include online order discounts within the subtotal field of posted orders to QuickBooks, rather than recording the discount amount as a separate line item.
Within the Discount Settings section, Enable the option and choose the Discount Item that you prefer for recording your discounts, then click on "Save".
Note: This method ensures that Webgility Online will log the discounted price of online orders as individual line items rather than including them in the subtotal field.
Sales Tax Tab
In the Sales Tax settings area, you will need to select the Sales Tax Item used to record your sales tax and then Save the settings.
Note these settings will differ in different versions of Quickbooks
Refunds Tab
Refunds Settings allowing you to specify how refund transactions will manifest in QuickBooks Online. The recommended settings will create a refund receipt and pay it out of the clearing account. The other selections on this screen are optional and are not usually adjusted in most cases. Save the settings when you are done.
Please Refresh the settings before continuing to ensure you get the latest data from Quickbooks.
Fees Tab
Within the Fees settings, you can adjust configurations for posting Amazon expenses and fees to QuickBooks. Activate the option to post settlement fees and ensure to click the refresh icon to retrieve the most recent data and settings from QuickBooks.
Our suggestion is to post the settlement report as a Bill/Expense. Within the "Select Type of Transaction" option, choose the Expense category to accurately record expenses.
Settings for Transaction Details:
Payee creates a vendor with the name Amazon and selects it.
Payment Date will be Settlement End Date.
Payment Method could be Credit Card or Cash.
Account You may select the same Clearing account that you select for the Sales
Receipt.
Expense Details will define the settings for creating Expense Transactions in Quickbooks:
Account select an Expense account.
Record Expenses in Multiple Accounts This option is usually not required unless you want to granularly record expenses (eg Promotion, FBA fee) to different accounts.
If desired, you can configure transaction class and location to provide specific details within the Expense details.
Description set it to Amount Description.
Refund Reimbursement:
In the Sales option, choose an income-type account for recording refunds, reimbursements, or income reflected in the settlement report. This ensures that all reimbursements are recorded separately when posting the settlement report.
Select Class If you are tracking Class then select the Class.
Description set as Amount Description
Note: You need to configure settings for each Sub-channel. If the fee amount for Canada or any other country orders is in different currencies then the vendor and account which you select under expense settings should also be in the respective currencies.
How to post the Settlement Report.
Now you can start posting the orders and settlement reports. To post the Settlement Report, Navigate to the Settlement Reports option from the left panel.
If you have any questions please feel free to contact Webgility support at 877 753 5373 ext. 3 Monday through Friday 8:00 am to 5:00 pm PST or email us at support@webgility.com.