Money

Ledger Desk keeps the money picture honest. Every bill is a ticket's bill (see Tickets and bills), and everything that comes after it, the cost of the parts, the extra costs of a job, the commission of the technician, the rent of the shop, is kept apart so you always know what each job and each month really earned.

Three rules

• Tax is never income. The sales tax you collect belongs to the state. It is set aside everywhere: in revenue, in profit, in commissions and in reports.
• Costs come off before profit. The cost of each part (and its shipping), the extra costs of a job and the card fees are subtracted before anybody earns a commission.
• Nothing is paid twice. A commission belongs to one payout only, and a correction after payment lands in the next payout instead of rewriting history.

From a sale to the net profit

1. Gross sales: the bills, tax included (void and cancelled bills left out).
2. Minus the tax collected: set aside, never income.
3. Minus refunds and discounts: this is the net revenue.
4. Minus parts cost (the cost of each line, shipping included), job costs and card fees: this is the gross profit of the jobs.
5. Minus the commissions of the staff: this is the contribution.
6. Minus the operating expenses (rent, electricity, internet…): this is the net profit, what the shop really made.

A worked example

Where to read more

• Expenses and job costs: rent and bills, receipts, approvals, budgets, and the extra costs of a job.
• Commissions and payouts: how technicians earn, pay periods, payouts and My Earnings.
• Reports and dashboard: the dashboard, the profit and loss and every other report.
• Card payments: surcharge and card fees.
• Company, taxes and numbering: tax rates, the default commission, the pay period and the card fee rate.

Ledger Desk calculates with the tax rates you set up. It is not tax-filing software: give the Tax report to your accountant.