How do I set up invisible coffees?

[Richard73]

I want to support a local charity by offering invisble coffees. How do i set up to ensure all proceeds go to charity & this amount is not recorded as total sales?

[Summer2024 · Accepted solution]

Hi, @Richard73 ! Welcome to the Square Community ! 

At the moment, Square records every payment you process as part of your total sales, so there isn’t a built-in way to exclude “invisible coffee” purchases from your sales reports.

However, there are a couple of effective ways to make sure the proceeds are clearly tracked and easy to pass on to the charity:

1. Create a separate item for “Invisible Coffee”

   • Add it as a product in your Square item library.

   • Mark it under its own category, like Charity or Donations.

   • This way, you can easily filter and run reports to see exactly how much was collected for the charity.

2. Run reports by category

   • When you generate sales reports, you’ll be able to separate “Invisible Coffee” sales from your actual business revenue.

   • This makes it easy to identify the donation amount you need to pass on to the charity.

3. Manual adjustment for accounting

   • Even though Square will record “Invisible Coffee” as part of your gross sales, you or your bookkeeper can exclude it in your accounting software by treating it as a pass-through donation rather than business income.

   • Many sellers create a specific chart of accounts entry in QuickBooks, Xero, or similar software to track donations separately.

I hope this helps!

[Richard73]

Thank you very much Summer!