About credit card transactions

Learn about credit card transactions and how to record them in Sage Intacct.

Entering credit card transactions

There are three ways to enter credit card transactions in Intacct:

• On the Credit card transaction page in Cash Management.

  Typically, these are transactions you’re recording in Intacct after you receive a bank statement. To move the liability from Cash Management to Accounts Payable, create a charge payoff. The charge payoff creates an AP purchase invoice which you pay on the Pay AP purchase invoices page.

  This method is helpful to use when you have small charges to enter quickly, or when you do not have a PO purchase invoice entered in Intacct. You are not required to select a supplier when you create a transaction using this method.

• When you pay an AP purchase invoice on the Pay AP purchase invoices page using Credit card as the payment method.

  This transaction goes through the typical Accounts Payable cycle. There's a PO purchase invoice which you've paid with a credit card. If you’re using payment approvals, the payment goes through a review process.

• When you create a manual payment using Credit card as the payment method.

Paying off credit card charges

Trying to pay off a credit card balance? Funds transfers to or from a credit card are not supported. Instead, go to the Charge payoff page to create an AP purchase invoice for the charges and pay it on the Pay AP purchase invoices page.

To move credit card liability from Cash Management to Accounts Payable, create a charge payoff. The charge payoff creates an AP purchase invoice that contains the charges. When you pay the AP purchase invoice on the Pay AP purchase invoices page, the credit card transactions are marked as Paid.

Accounting example

GL Account	Debit	Credit
Credit card transaction
Meals and Entertainment	150.00
American Express Notes Payable		150.00
Payoff charges
American Express Notes Payable	150.00
Accounts Payable		150.00

General Ledger posting

When a credit card transaction or a credit card fee posts to the General Ledger depends on what accounting method your company uses for reporting, and your Cash Management configurations.

In accrual companies, credit card transactions post to the General Ledger as soon as they’re created.

In cash and multi-book (cash and accrual) companies, credit card transactions only post to the General Ledger as soon as they’re created if you enable this option in Cash Management. Otherwise, these transactions post after they’re marked as Paid.

Credit cards and debit cards

When you set up a credit card account in Intacct, you can specify whether the card is a credit card or a debit card.

The difference between a credit card and a debit card is that credit card transactions "float" in Intacct and still need to be paid off. Charges to debit cards are immediately subtracted from the current account associated with that debit card.

Transactions for debit and credit cards appear in their respective registers. For example, credit card charges appear in the Credit card register report. Debit charges appear in the Cheque register report. AP purchase invoices paid with a credit card in Accounts Payable also appear in their respective registers.

You cannot delete a debit card transaction. You can only reverse it.

Credits and negative amounts

To enter a credit on the credit card account, enter a negative transaction. For example, say you made a purchase using a credit card, but then returned the item and received a refund.

Use credit cards with employee expenses

You can enable a credit card for use with employee expenses. When you create a credit card transaction, you can associate it with an employee. Then, the employee can easily add it to an expense report.

Learn more about using credit cards with employee expenses.