Using FlexBooks with Mindbody Payments

Overview

This guide explains how to set up and use FlexBooks with Mindbody Payments, Mindbody's native payment processing service powered by Stripe. If you're transitioning from TSYS (Transfirst) or another payment processor to Mindbody Payments, this article will walk you through the necessary accounting adjustments.

What is Mindbody Payments?

Mindbody Payments is Mindbody's own payment processing service which allows you to collect payments for your services sold through the Mindbody app, online store, or at your business location. Unlike some other processors, Mindbody Payments deducts all processing fees before depositing funds to your bank account. You can learn more about it at the Mindbody Payments FAQ. 

What are Mindbody Payments' Payouts?

When the money collected from your customers is deposited to your bank account in a lump sum – this is called a "Payout." If you previously used Transfirst, these were referred to as "Batch Deposits."

Why You Need a Different Approach for Mindbody Payments

When using Mindbody Payments, you'll notice that the amount deposited to your bank account is the net amount (total charges minus processing fees). With FlexBooks, we recommend using a Clearing Account rather than the direct matching method you may have used with other processors.

Setting Up FlexBooks with Mindbody Payments: 3 Simple Steps

Step 1: We Set Up Your Clearing Account

This one is ours. We reconfigure your FlexBooks account so that all credit card sales go to an Other Current Asset account called "Credit Card Processor", and FlexBooks creates that account in QuickBooks Online for you. There is no mapping or setup on your side.

If you have just moved to Mindbody Payments and have not heard from us yet, send us a message and we will switch you over.

Step 2: From your Bank Feed, Record Your MindBody Payments Payouts as a Transfer

When Mindbody Payments deposits funds to your bank account, process them as follows:

1. In Bank transactions, on the Pending tab, click your Mindbody Payments payout
2. Make sure the row is set to Categorize rather than Match
3. Set Transaction type to Transfer
4. Set Transfer Account to Credit Card Processor
5. Click Post

Pro Tip: Once familiar with this process, use Create rule on that same screen so QuickBooks records every future Mindbody Payments payout as a transfer to Credit Card Processor by itself. The steps are in Clearing Accounts 101, and we are happy to set the rule up for you instead.

Step 3: Account for Processing Fees Monthly

At the end of each month:

1. Access MindBody's Payouts Report (NOTE: only the MBO site owner account will be able to view and access this report):
   • In Mindbody, click Point of Sale in the left menu
   • Click More at the top right, then Payments Portal
   • Click Reports on the left, then Payouts
   • Enter the first and last day of the month as the start and end dates (for example, 09/01/2026 to 09/30/2026) and click View
   • Click Export
   • Open the .csv file
   • Add up all numbers in the "Fees" column

2. Create an expense in QuickBooks Online:

• Click the + Create button
• Select "Expense"
• For Payee, select "MindBody Payments" (create if needed)
• For Payment account, select "Credit Card Processor"
• For Category, select "MindBody Payments Fees" (if it doesn't exist, create one using Account Type: Expenses, Detail Type: Bank Charges)
• Enter the total amount of fees calculated from the report

How the Clearing Account Works: An Example

1. You charge $120 in credit card payments
2. FlexBooks enters a Sales Receipt which increases the clearing account by $120 (Balance: $120)
3. Mindbody Payments deposits $100 in your bank account ($120 minus $20 in fees)
4. QuickBooks Online syncs in a $100 deposit through the bank feed
5. You transfer that deposit to the clearing account, reducing it by $100 (Balance: $20)
6. You create a monthly expense for $20 in fees, reducing the clearing account by $20 (Balance: $0)

Resources:

• Article: Clearing Accounts 101
• YouTube Tutorial: What is a clearing account and when and how would we use it?

Transitioning from TSYS to Mindbody Payments

Determine Your Transition Date

The first step in transitioning is to identify when the switch to Mindbody Payments will occur (or if it has already happened):

1. If you've already transitioned to Mindbody Payments:
   • Contact FlexBooks support right away
   • We'll switch your account to use the clearing account method
   • We'll move the payouts that already synced under the old method into the clearing account for you, inside your QuickBooks
   • We'll work out the fees that have built up since you switched and enter those too
2. If your transition is scheduled for a future date:
   • Let FlexBooks support know the exact date of your planned transition
   • We'll configure your account to switch to the clearing account method on that specific date
   • This ensures a smooth transition with no disruption to your accounting records
   • After the transition date, you'll start using the new process described above

What to Watch For During Transition

• Your first few deposits from Mindbody Payments may look different from your TSYS deposits
• The net amount deposited will be lower (payment total minus fees)
• The description in your bank feed will change from "Tsys Transfirst" to one containing "Mindbody". The exact wording depends on your bank, so look for Mindbody rather than for a particular phrase

How to Identify a Mindbody Payments Payout vs. a Transfirst Batch Deposit

In QuickBooks Online, look at your deposits' Bank Details:

• If the description contains "Mindbody", it's a Mindbody Payments Payout. Banks print it differently from one another, so you may see "ORIG CO NAME: MINDBODY, Inc.", "Mindbody St", or something else with Mindbody in it
• If you see "Tsys Transfirst", it's a Transfirst Batch Deposit

Need Help?

If you need assistance setting up the clearing account or have questions about using FlexBooks with Mindbody Payments, please contact our support team. We're happy to help guide you through the transition process.

We offer several personalized support options to make your transition as smooth as possible:

• We'd be happy to enter your first few fees transactions for you
• We can record a video tutorial specifically for your business setup
• We offer screenshare support sessions to walk you through the process step by step

Just let us know what would be most helpful for your team, and we'll be glad to accommodate your needs.