How to record the bank charges that associated with the payment to the supplier?

Software: Quickbooks accounting software

When you remit payment to supplier often there is a bank charge associated with the fund transfer.

We usually record it as a separate transaction. That is, record a bill payment in Quickbooks for the amount owing (assume that we made a payment of $10,0000). Then, using a write cheque transaction to record the bank charges (assume the bank charge is $30) from the Bank.

Some user may prefer to view the payment as a lump sum of $10,030 in the bank account instead of two separate transactions. Then, you may consider adding an additional account (contra bank) with an extra transaction to first record the fund transfer from the bank account to the contra bank account for the amount of $10,030. Next, use the bill payment to record the payment of $10,000 from the contra bank, and follow by a write cheque transaction from the contra bank paying to the bank for the bank charge of $30.

The double entry of these transactions will be:

Debit Contra Bank 10,030
Credit Bank 10,030

Debit Accounts Payable 10,000
Credit Contra Bank 10,000

Debit Bank Charge 30
Credit Contra Ban 30

Consult your accountant, as wrong method used may confuse the accountant when preparing your financial statement.