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How would you handle a tip?


Gears

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If a client were to give you a tip for a service provided, how would you handle it in WHMCS?

 

That's a new one on me. Personally, as the owner, I don't accept tips. I'd most likely thank them and apply it as a credit to their account.

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That's a new one on me. Personally, as the owner, I don't accept tips. I'd most likely thank them and apply it as a credit to their account.

 

Well, the service provided wasn't like a hosting account or anything... it was something that you'd accept a tip for, in my opinion at least

 

Anyway, question still applies. I can either add it as a credit (which I'm not going to do), add it to the invoice for record keeping purposes (which I'll probably do), or just not record it at all.

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lol

 

So it seems that tips don't need to be recorded, right? It was all part of one paypal payment though.

 

Eh, it isn't a big deal. Just wanted to see what other people thought and what they would do. Thanks

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lol

 

So it seems that tips don't need to be recorded, right? It was all part of one paypal payment though.

 

Eh, it isn't a big deal. Just wanted to see what other people thought and what they would do. Thanks

 

Actually tips are still taxable income. So if the taxman goes though your books and see's an entry for £x.xx, then checks your paypal statement, and see's an entry for £xx.xx he's going to ask you to explain the difference. Saying "oh it was a tip, so I didn't declare it", is going to go down like a lead balloon.

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Alas, HostOrca is correct in this instance as you have now mentioned the PayPal combined transaction aspect. That does make a difference.

 

Grab a Taxi business card from a Taxi firm with a receipt on the back and allocate it as a tax deductible business expense under Transport instead. ;)

Edited by redrat
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Actually tips are still taxable income. So if the taxman goes though your books and see's an entry for £x.xx, then checks your paypal statement, and see's an entry for £xx.xx he's going to ask you to explain the difference. Saying "oh it was a tip, so I didn't declare it", is going to go down like a lead balloon.

 

Ah hah. Thanks for that info. Originally I thought it was taxable but then after reading this thread I assumed it wasn't. Now I know it is. (I was never a server/waiter)

 

So, yeah, basically what I did was had the client send payment to our paypal address. Then I created the invoice and listed the items and the leftover amount I listed as "Tip". Finally I did the "Add Payment" option.

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GEARS..Here is what I mean...

 

I have a client called petty cash, I credit the account $500, as time goes on I generate invoices as they come in, Copy paper, office supplies, 46.50$

Someone paints the office, $100, etc.

When the amount get low I ad credit again.

I now have a report for client petty cash...

I do this for Other bills related to the business as well, including domain names... This way the billing system gives me a more accurate picture of profit/loss!

As far a most tax departments for many countries go, even gifts are taxable!

Edited by Nexxterra
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GEARS..Here is what I mean...

 

I have a client called petty cash, I credit the account $500, as time goes on I generate invoices as they come in, Copy paper, office supplies, 46.50$

Someone paints the office, $100, etc.

When the amount get low I ad credit again.

I now have a report for client petty cash...

I do this for Other bills related to the business as well, including domain names... This way the billing system gives me a more accurate picture of profit/loss!

As far a most tax departments for many countries go, even gifts are taxable!

 

Oh I see now. I do something completely different. Whenever I make an expense I go to the Transactions page and add a new transaction. I select the client, put an amount in the Outgoing section, fill out the description, and fill out any other necessary fields. Then I can filter by client or outgoing transactions and make reports. This way seems much better to me in my opinion.

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