Farmigo Accounting Features: Part I

This week’s tip focus on how revenue is recorded in your Farmigo system.  The Farmigo system features accounting tools so that you may track your revenue on an accrual basis. This means that income is recorded when it is earned (learn more).  Revenue is considered earned once a member’s order is delivered and recorded as received.

Revenue is realized at the time of delivery in order to account for changes that may be made to a member’s subscription between the time that they place the original order and the time that they receive their order.

Read on to learn more. (Also, check out Part II & Part III)

How Revenue is Recorded

When a member’s order is recorded as received under the History tab of a member file, the value of that delivery is considered earned revenue.  It is debited from the member’s accounts.

The value of the deliveries recorded is then summarized in the Past Deliveries ($) report.

How Payments are Recorded

The Past Deliveries ($) summarizes earned revenue.  The Payments report summarizes receipts from members and shows received revenue The Payments report summarizes data from the Payment tab of member files.

If you generate the Payments report with the default settings where Payment Status = Received and Payment Type = All (Credit Card, Electronic Check, PayPal, Check, Cash, Terminal, Internal, Complementary, and Fees), the resulting report will show:

• Positive amounts for payments received from members and complimentary payments added to member accounts.  These amounts are listed as Credits under the History tab of the member file.
• Negative amounts for fees and refunds added to member accounts.  These amounts are listed as Debits under the History tab of the member file.
• The Total listed at the top of the PDF output summarizes both the positive and negative amounts.