Automated PayPal Sales & Fee Reconciliation (Zapier)

1. **Log in to Zapier** and click 'Create Zap'. 2. **Set Trigger**: Search for **PayPal** and select 'Successful Sale' as the Event. Connect your PayPal Business account by following the prompts to grant API access. 3. **Test Trigger**: Fetch a recent transaction. Ensure you have 'Gross Amount' and 'Fee Amount' in the sample data. 4. **Add Action: QuickBooks Online**: Select 'Find Customer'. Map the 'Payer Email' from PayPal to the 'Email' field in QuickBooks. Check the box **'Create QuickBooks Online Customer if it doesn't exist yet?'** and map Name and Address fields. 5. **Add Action: Formatter by Zapier**: Select 'Numbers' and then 'Perform Math Operation'. Use this to ensure the PayPal Fee is handled correctly. Tip: Use 'Subtract' Gross - Fee if you need to verify Net, though QuickBooks Sales Receipts usually handle line items. 6. **Add Action: QuickBooks Online**: Select 'Create Sales Receipt'. - **Customer**: Use the Custom ID from Step 4. - **Deposit To**: Select your 'PayPal Clearing' asset account. - **Line Item 1**: Map 'Gross Amount' to your Sales/Income account. - **Line Item 2**: Add a second line item. Enter a negative value or map the 'Fee Amount' and assign it to your 'Merchant Processing Fees' expense account. 7. **Add Filter/Path (Optional)**: If you handle multiple currencies, add a **Filter by Zapier** to only continue if the currency matches your QuickBooks home currency or use a Path to route different currencies to specific accounts. 8. **Turn on Zap**: Name your Zap 'PayPal to QBO: Sales & Fees' and publish.

| PayPal Source Field | QuickBooks Target Field | Transformation/Logic | | :--- | :--- | :--- | | Payer Email | Customer: Email | Required - Used for 'Find Customer' lookup | | Payer Name | Customer: Display Name | Required - Logic: First Name + Last Name | | Gross Amount | Sales Receipt: Line Item 1 Amount | Required - Positive Value (Income) | | Fee Amount | Sales Receipt: Line Item 2 Amount | Transformation: Use `{{-fees}}` or specific Fee Account mapping | | Transaction ID | Sales Receipt: DocNumber | Map to 'Reference Number' for easy reconciliation | | Payment Date | Sales Receipt: Transaction Date | Standard ISO format conversion (handled by Zapier) | | Item Name | Sales Receipt: Description | Default: 'PayPal Sale' if item name is null |

• **The 'Net' Trap**: Never map only the Net amount. To reconcile correctly, you MUST record the Gross as income and the Fee as an expense. • **Naming Collisions**: If a customer exists in QBO with a slightly different name but the same email, 'Find Customer' may fail or create duplicates if not configured to search strictly by Email. • **Currency Conflicts**: Zapier will error if you try to post a USD transaction to a QuickBooks account that only accepts CAD. Use a Filter or Currency Formatter if you sell globally. • **Account Types**: The 'Deposit To' field must be an account of type 'Bank' (e.g., PayPal Clearing) or the QuickBooks API will reject the Sales Receipt. • **Task Quotas**: Each sale uses 3-5 tasks (Trigger, Find Customer, Formatter, Create Receipt). Monitor your Zapier plan limits if you have high volume.

- [ ] **Test Step 4**: Does the 'Find Customer' step correctly identify an existing customer without creating a duplicate? - [ ] **Test Step 6**: Does the Sales Receipt in QuickBooks show the correct Gross amount and a negative Line Item for the fee? - [ ] **Account Check**: Is the money landing in the 'PayPal Clearing' account in QuickBooks rather than 'Undeposited Funds'? - [ ] **History Check**: View the 'Zap History' in Zapier to ensure the 'Data Out' matches the 'Data In' exactly for the last 3 test runs. - [ ] **Reconciliation Check**: At the end of the day, does the 'PayPal Clearing' balance in QBO match your PayPal 'Checkbook' balance?