What is batch closing, and why you shouldn't skip it

Short answer: Closing the batch sends all of the day's card transactions to your processor to settle and pay out. Close it every day, after finalizing tips, so deposits arrive on time, you avoid higher rates for late settlement, and your books are easy to match.

What is a batch?

When a client taps their card, the payment is only authorized: the bank holds the money for you, but it hasn't moved yet. All of the day's authorized payments sit in a "batch". Closing the batch sends them off to settle, and the money is deposited to your account.

Why close every day?

• Steady deposits: close today, and money usually arrives in one to two business days.
• Avoid higher rates: transactions that settle too late can be charged more.
• Easy reconciliation: one day, one batch, one deposit.

A simple end-of-day routine

1. Close any open tickets.
2. Review and finalize tips (if tips are adjusted afterward).
3. Compare card totals in your POS with the terminal totals.
4. Close the batch.
5. Save the batch report.

Auto-close

Many terminals and processors can close the batch automatically at a set time, such as after closing hours. If you turn it on, pick a time after tips are done.

When numbers don't match

• A card was run on the terminal but not tied to a POS ticket (usually from typing the amount by hand).
• A ticket was voided in the POS but not on the terminal.
• A refund was done on the terminal but not recorded in the POS.

When the terminal is connected to the POS, these mistakes mostly disappear. Kashela has one-tap batch close and a batch report for every day. See also the end-of-day closeout checklist.