You already know the benefits of offering gift cards for your restaurant: bringing in new customers, encouraging customer loyalty, and providing a “guarantee” of revenue for your eatery. Accounting for those gift cards correctly is an important part of maintaining accurate financials. In collaboration with Toast, the Fork CPAs team members Raffi Yousefian, CPA and Anna Baumgardner, CPA break down the nuances of restaurant accounting for restaurant gift cards in How to Optimize Your Restaurant Gift Card Accounting and Bookkeeping. This article covers reconciling gift card reports with your financials, accurate revenue recognition, gift card breakage, and how the revenue from gift card sales is taxed.
In this article, you’ll also learn how Toast can help you manage accounting for restaurant gift cards, and what reports to will help you reconcile between your POS system and your accounting software. If you still have questions after reading this article, schedule a call with us!
Toast article originally published February 2, 2023
