I am registering invoice payments received through PayPal. After registering the payment, I add a journal entry to record the PayPal fee:
- Credit asset account "PayPal" $12.99
- Debit expense account "Bank Service Charges" $12.99
Is this the best way? I usually forget to add the extra journal entry.
Option 2: Make a journal entry at the end of the month for the total of all fees. Problem is my PayPal balance is always overstated.