Recording Product Sales and Event Registrations in Accounting

In Springly, all modules are connected to one another. This means that when you record a transaction in Events, a book entry is automatically created in your accounting. This article walks you through the accounting impact of a purchase.

In this example, I want to record Perrine's registration for $50, with a first payment of $20 in cash and a second payment of $30 by check.

When you record a registration, one or more book entries are created:

• The first one is tied to the registration itself.
• The subsequent ones are tied to each individual payment.

The first entry is tied to the registration: it credits account 706 (services revenue). In my example, account 706 is credited $50.

There are then two scenarios: either a person is linked to the purchase, or no one is. In the first case, account 467 (user account) is debited; in the second, account 411 (account receivable) is debited. In my example, account 467 is the one impacted.

Here is what this line looks like in the Journal.

Until the full payment is collected, Perrine's membership will appear in your receivables list.

Each time a payment is recorded, a new entry is created. The intermediate account is credited for the amount paid. In my example, account 467 is credited $20.

The account debited depends on the payment method used:

• Cash payment: account 531 (petty cash)
• Payments hitting the bank account (card, wire transfer, direct debit, etc.): account 512 (bank)
• Check payment: account 511200 (checks pending deposit)
• Online payment: account 517 (e-wallet)

In my example, account 531 is therefore debited $20.

Here is what the payment line looks like in the Journal.

Since the payment hasn't been made in full, the sale still appears in receivables — but the amount already paid is shown.

Next, I'll record the second and final payment. The intermediate account is still the one credited, for the amount paid. In my example, account 467 is credited $30.

The account debited still depends on the payment method used. In my example, Perrine paid by check, so account 511200 is debited $30.

Here is what the sale and both payments look like in the Journal.

Since the sale has been paid in full, it no longer appears in receivables.