Reconcile Compass with QuickBooks Online (QBO)

Modified on Wed, 13 Nov, 2024 at 12:02 PM

Reconcile Compass with QuickBooks Online (QBO) How to Ensure your Compass and QBO’s Figures Match

Your Compass and your QBO’s Work Done and Gross Income should match; however, if it doesn’t you need to understand why. This is an important process that should happen each month before your stat report is completed. Reconciling the two will help:

Identify potential shortfalls in your staff’s close out process in Compass
Build confidence that your reports in Compass are accurate
Ensure that you aren’t over or under-reporting your Royalty and National Advertising fees

Some common reasons the reports may not match:

Sales tax in Compass is prorated, whereas in QBO the full amount is taken from the final payment.
Rounding in the sales tax calculation could be slightly off, usually this will mean it is pennies off.
Reimbursement from vendors or fellow franchisees show as income in QBO’s but have no relevance with Compass.
The job was not marked as complete in Compass, so it is not showing in the Work Done report. However, the same job flowed over to QBO as the last day of the project passed.
A callback is processed incorrectly attaching to a customer that came over from i360, creating a full value invoice that syncs over to QBO.

So, how to reconcile? Here’s what we suggest for Gross Income (cash):

Log into your QBO’s account, click on ‘reports’, click on ‘my custom reports’. If this has not been created, please see Generate QuickBooks Online Reports for Stat Reporting.
Run the ‘Gross Income’ report. Export the report to Excel.

In Compass, go to Reports, Gross Income Detail (Stat Reporting) and ensure the filter matches the appropriate time. Export the report to excel and sort by customer.
Go line by line, find customer A in your QBO’s report and customer A in Compass′s report. Verify the #’s match, highlight it and move on.
If it doesn’t match, either leave it unhighlighted or circle it to come back to later.
Once you’ve gone through the 2 reports, go back and examine the sales that do not match.

o This will require pulling up the info in Compass and QBO’s to determine why and what the discrepancy is.
o See the common discrepancies above for the most common ones.

Here’s what we suggest for Work Done (accrual):

1. In Compass, go to Reports, Work Done Detail by Market Segment (Stat Reporting) and ensure the filter matches the appropriate time. Export the report to excel and sort by customer.

In QBO’s, go to reports, my custom reports, Work Done, and make sure it is run in accrual and the dates are for the previous month. Export the report to excel.
Go line by line, find customer A in your QBO’s report and customer A in Compass′s report. Verify the #’s match, highlight it and move on.
If it doesn’t match, either leave it unhighlighted or circle it to come back to later.

4. Once you’ve done gone through the 2 reports, go back and examine the sales that do not match.

o This will require pulling up the info in Compass and QBO’s to determine why and what the discrepancy is.

o See the common discrepancies above for the most common ones.

Please remember, any changes made after you have submitted your stat report, will affect either your royalty and ad fees owed or Work Done figures. A reconciliation of what you reported to your books should be done quarterly to ensure you haven’t over or under-reported. If you have a discrepancy, please email Accounting at accounting@miraclemethod.com. We will help walk you through how to submit revised stat reports.