In short

Restaurant bookkeeping is built on the daily sales summary from the point-of-sale system. Each day is recorded by sales category such as food, beverage and alcohol, with discounts, comps, tips, gift cards and sales tax split out. Card batches, cash deposits and delivery platform payouts are then reconciled to the bank, with processing fees and delivery commissions recorded as separate expenses. Vendor invoices are categorized so food cost and beverage cost percentages can be reviewed each month alongside labor.

A restaurant generates hundreds of small transactions a day across card terminals, cash drawers, delivery apps and supplier invoices. Bookkeeping for restaurants is about closing each day cleanly so that weekly food and labour costs mean something.

Daily sales close

We start from the point-of-sale daily summary rather than bank deposits. Each day becomes one journal entry that separates:

  • Food, beverage and alcohol sales
  • Sales tax collected, posted to a liability
  • Discounts, comps and voids
  • Gift card sales (a liability until redeemed)
  • Tips collected for staff, which are not restaurant revenue
  • Tenders: card, cash and each delivery platform

Card processor deposits usually arrive a day or two later, net of fees, and delivery apps pay weekly after commissions. We match each deposit back to its sales days, record the fees, and chase any gap.

Cash handling

Cash is where small differences add up. We reconcile the cash recorded in the POS to the cash deposited, track over-and-short by day, and flag patterns rather than writing them off at year end.

Purchases and prime cost

Food and beverage suppliers invoice frequently and sometimes issue credits for returns. We code invoices to food, beverage, alcohol and supplies separately and reconcile supplier statements monthly. Combined with payroll, that gives you prime cost (cost of goods plus labour) as a weekly figure instead of a surprise on the quarterly report.

Records the IRS expects

The IRS explains in its recordkeeping guidance that businesses should keep records that support income and deductions. For restaurants, that means POS reports, deposit slips, supplier invoices and tip records, all kept together.

Monthly output

A reconciled ledger, a profit and loss showing food, beverage and labour cost percentages, and a short list of anything that did not reconcile. Read how we work with restaurants, see our wider bookkeeping services, or book a consultation.