Overview
This article covers Step 4O of the accounting integration setup: mapping the Finance Commission Clearing control account. This control account manages the timing difference when a dealership's finance commission is paid separately from the customer's finance funding. For the full accounting integration series, see Accounting Integration Setup: All Steps.
General Ledger Mapping
The Finance Commission Clearing control account should be mapped to a General Ledger (GL) account with an account type of Current Liability. Place it in the same section of your Chart of Accounts as your other Current Liability clearing accounts, such as Sublet Clearing.
Purpose of the Finance Commission Clearing Control Account
The Finance Commission Clearing control account is only used when the dealership does not receive its finance commission at the same time as the customer's finance funding on a unit deal.
Example Scenario
Consider the following situation:
A customer receives finance of $10,000 for a unit deal.
The dealership is also entitled to a $500 finance commission from the finance company, as recorded on the unit deal.
The $500 commission will not be paid at the same time as the $10,000 — the finance company will send it in a separate deposit at a later date.
This scenario applies when the Deal Finance Commission are included in funding setting is not enabled in System Settings > Settings & Controls > Shop Settings, or when the finance vendor is not configured to pay the commission at the same time as the finance funding.
How the Accounting Entries Work
In this scenario, you can still enter the commission amount in the finance section in Blackpurl, but you fund only the finance amount on the Customer Order unit deal. Blackpurl then sends the following journal to your accounting package:
Debit — Finance Commission Clearing GL (as mapped in the Finance Commission Clearing control account)
Credit — Finance Income GL (as mapped in the Finance Commission Income control account)
When you later receive the commission payment into your bank account, allocate that payment to the Finance Commission Clearing account to clear the balance.