How to reconcile payment deposits from the bank feed

Pamela Calilung
Customer success manager Request support

Clearing accounts are temporary accounts to record transactions in a timely manner. These accounts are used to easily enter payments received before the money is deposited into your bank account. When the payments are deposited, they need to offset the clearing accounts to remove the temporary balance and post it to a permanent account.

The Amaka integration syncs the sales transactions into the Revenue accounts. It also captures the payments which are allocated to the clearing accounts so that you have full visibility of how much payments are recorded on the transactions.

What is the account type for Payment Clearing Accounts?

For payments, a Current Asset account is appropriate. For gift cards or exchange credit, the clearing account must be a Current or Noncurrent Liability account.

Do Clearing Accounts have taxes?

Payment Clearing Accounts do not have taxes. This is because these are temporary balance sheet accounts. Taxes are entered together with the sales so the recording of taxes is not duplicated when payments are applied.

Reconciling payment deposits from the bank feed

When cash or credit card payments are deposited into the bank account, simply reconcile these accounts to the appropriate clearing account. For example, cash deposits for cash payments received are usually reconciled to the Cash Clearing Account. On the other hand, credit card payouts from the merchant are usually reconciled to the Credit Card Clearing Account.

If you used our Express Setup and maintained our default accounts, you may follow the guide below when reconciling the deposits. If you changed the mapping of the clearing accounts, just take note of them and make sure to allocate the deposits into your selected account.

Square + Xero
Payment MethodDefault Clearing Account
Square Payment (Card)Square Balance
CashSquare Cash Clearing
Other PaymentsSquare Other Payments Clearing
Payment MethodDefault Clearing Account

Custom Payment Type


  1. Credit Card
  2. Cash

Loyverse [custom_payment_type_name] Clearing

  1. Loyverse Credit Card Clearing
  2. Loyverse Cash Clearing
Other PaymentsLoyverse Other Payments Clearing
Payment MethodDefault Clearing Account

Custom Payment Type


Credit Card

Lightspeed [custom_payment_type_name] Clearing

Lightspeed Credit Card Clearing

CashLightspeed Cash Clearing
Credit AccountLightspeed Credit Account
All Other PaymentsLightspeed Other Payments Clearing
Payment MethodDefault Clearing Account
CashDash Cash Clearing
Credit CardDash Credit Card Clearing
Debit CardDash Debit Card Clearing
CheckDash Check Clearing
Delivery ProviderDelivery Provider
All Other PaymentsDash Other Payments Clearing