This guide explains how to understand report settlements on the Reach platform and how each transaction works. By understanding the components of these reports, users can better manage their finances and quickly reconcile their accounts.

Settlement reports are detailed records summarizing all transactions processed through the Reach platform during a specific period.

Understanding settlement reports

The transaction date on the platform may differ from the deposit date with Reach, and the T+X settlement period starts counting after the deposit date.

The End Time in the Reach portal represents when the transaction concludes, and Reach receives the funds.

Our settlement schedules, which follow business calendar days, provide a predictable and reliable framework for your financial planning. Payouts are typically processed twice or thrice a week, and for bank holidays, Reach moves payments to the next business day.

Depending on your business location, we generally send our settlement payouts via Wire transfer and Automated Clearing House (ACH). If not, your Reach representative will discuss the settlement payout option with you beforehand.

Settlement report example

The settlement report contains important columns, such as LINE TYPE (Payments, Refunds, Adjustments), ORDER ID, MERCHANT ORDER ID, etc. All reports contain sell currency, buy currency, FX rates if applicable, fees, final settlement amount, and other data relevant to the transaction. The glossary describes the terms used in the settlement report.

You can download the standard settlement report and use it as needed.

Explanation of the settlement report

The following image shows some of the most important sections to understand when viewing your generated settlement reports.

Sell and settlement currencies

The Sell Currency and Settlement Currency columns show the customer's purchasing currency and settlement currency you received. The settlement currency is the currency that arrives in your bank account.

Taxes

The Sell Amount - Tax column lists the taxes applied to the purchase.

Reach fees

The Fee - Processing, Fee - Fraud Engine, Fee - Financing, and Fee - Refund columns indicate the fees applied to the transaction and their origin.

Net amount

The Net Amount column shows the final value after applying all fees, taxes, exchange, and settlement.

FX rate

Reach’s industry-leading wholesale FX rates show the rate when the settlement occurred.

Settlement payout explained

Settlement payouts are important for managing your cash flow. This section aims to demystify the nuances of settlement payouts on the Reach platform. The settlement process affects your budget and financial planning. This section will explain how the settlement process works, including key timelines and factors that can impact payments. We want to help you understand settlement reporting so you can manage your accounts with confidence.

Prerequisites:

Go-Live Date: Monday, October 7th
Payment Agreement: T+4 (Business days only - weekends and holidays roll into the next business day)
Payment Schedule: Mondays and Thursdays

Settlement days breakdown:

For transactions received on October 7th, T+4 lands on Friday, October 11th. Since the payout on Thursday, October 10th, has been missed, the payout will occur on Monday, October 14th.
Similarly, for transactions received on October 8th, the payout will also occur on Monday, October 14th.
Reach will settle transactions received on October 9th, 10th, or 11th on Thursday, October 17th payout.
Reach will include transactions received between October 12th and October 15th in the Monday, October 21st payout.

Settlement sequence (ideal):

Monday Settlements: Transactions from Saturday to Tuesday.
Thursday Settlements: Transactions from Wednesday to Friday.

Standard settlement methods

The following columns will appear in the settlement report.

LINE TYPE

This column indicates the type of transaction, such as Payments, Refund, Adjustment, Transaction, NetTotal, etc.

ORDER ID

The Reach identifier for the order that contains the transaction(s).

MERCHANT ORDER ID

The merchant-provided ID for the order.

REFUND ID

The Reach external identifier for the refund (if any).

MERCHANT REFUND ID

The merchant provided the ID for the refund (if any).

TAX TRANSACTION ID

The Reach-assigned ID for the tax transaction, irrespective of tax processing source (e.g., Avalara, ShopTax, etc.).

ORDER DATE

The date the consumer placed the order in the merchant's store.

PAYMENT METHOD

The method of payment, e.g., AMEX, PayPal.

SELL CURRENCY

The three-letter ISO code represents the currency consumers use, specifically the currency sold on the foreign exchange (FX).

SELL AMOUNT - SUBTOTAL

The sell amount subtotal, excluding tax (SELL AMOUNT - TAX).

SELL AMOUNT - PRODUCT

The PRODUCT amount is a component of the overall SELL AMOUNT. It sums with other SELL AMOUNT components, such as SELL AMOUNT - SHIPPING, SELL AMOUNT - DUTY, SELL AMOUNT - TAX, and SELL AMOUNT - FINANCING, which totals the SELL AMOUNT.

**This term is deprecated.**

SELL AMOUNT - SHIPPING

The SHIPPING amount is a component of the overall SELL AMOUNT. It sums with other SELL AMOUNT components, such as SELL AMOUNT - PRODUCT, SELL AMOUNT - DUTY, SELL AMOUNT - TAX, and SELL AMOUNT - FINANCING, which total the SELL AMOUNT.

**This term is deprecated.**

SELL AMOUNT - DUTY

The DUTY amount is a component of the overall SELL AMOUNT. It sums with other SELL AMOUNT components, such as SELL AMOUNT - PRODUCT, SELL AMOUNT - SHIPPING, SELL AMOUNT - TAX, and SELL AMOUNT - FINANCING, which total the SELL AMOUNT.

**This term is deprecated.**

SELL AMOUNT - TAX

The tax on the Sell Amount Subtotal. A positive value appears when a transaction has taxes levied against it, and a negative value occurs when the tax is refunded. For instance, the sign ensures that adding it to the subtotal results in the total. For example:

The sign will generally be the inverse of this on the settlement side because the tax was withheld from the settlement total. The extent of these details is clearer when looking at an example:

Sell amount subtotal: 100
Sell amount tax: 10
Sell amount total: 110
FX rate: 1
Settlement amount total: 110
Settlement amount tax: -10
Gross amount settled: 100

SELL AMOUNT - FINANCING

The FINANCING amount is a component of the overall SETTLEMENT AMOUNT. It sums with other SETTLEMENT AMOUNT components, such as SETTLEMENT AMOUNT - PRODUCT, SETTLEMENT AMOUNT - SHIPPING, SETTLEMENT AMOUNT - DUTY, and SETTLEMENT AMOUNT - TAX, which total the SETTLEMENT_AMOUNT.

**This term is deprecated.**

SELL AMOUNT - TOTAL

The sum of the Sell Amount Subtotal and the Sell Amount Tax.

SETTLEMENT CURRENCY

The three-letter ISO code for the currency for settlement with the merchant, specifically the currency purchased during foreign exchange (FX).

FX RATE

The foreign exchange (FX) rate used for any trade done by Reach. A value of 1 denotes like-for-like processing.

SETTLEMENT AMOUNT - TOTAL

The sum of the settlement amounts. Note that this value is tax-inclusive.

SETTLEMENT AMOUNT - PRODUCT

The PRODUCT amount is a component of the overall SETTLEMENT AMOUNT. It sums with other SETTLEMENT AMOUNT components, such as SETTLEMENT AMOUNT - SHIPPING, SETTLEMENT AMOUNT - DUTY, SETTLEMENT AMOUNT - TAX, and SETTLEMENT AMOUNT - FINANCING, which total the SETTLEMENT AMOUNT.

**This term is deprecated.**

SETTLEMENT AMOUNT - SHIPPING

The SHIPPING amount is a component of the overall SETTLEMENT AMOUNT. It sums with other SETTLEMENT AMOUNT components, such as SETTLEMENT AMOUNT - PRODUCT, SETTLEMENT AMOUNT - DUTY, SETTLEMENT AMOUNT - TAX, and SETTLEMENT AMOUNT - FINANCING, which total the SETTLEMENT AMOUNT.

**This term is deprecated.**

SETTLEMENT AMOUNT - DUTY

The DUTY amount is a component of the overall SETTLEMENT AMOUNT. It sums with other SETTLEMENT AMOUNT components, such as SETTLEMENT AMOUNT - PRODUCT, SETTLEMENT AMOUNT - SHIPPING, SETTLEMENT AMOUNT - TAX, and SETTLEMENT AMOUNT - FINANCING, which total the SETTLEMENT_AMOUNT.

**This term is deprecated.**

SETTLEMENT AMOUNT - TAX

The TAX amount is a component of the overall SETTLEMENT AMOUNT - TOTAL. It sums into SETTLEMENT AMOUNT - TOTAL, but not into NET AMOUNT.

SETTLEMENT AMOUNT - GROSS

The sum of the settlement amount and tax. Reach uses this value to calculate fees.

SETTLEMENT AMOUNT - FINANCING

**This term is deprecated.**

FEE - PROCESSING

Reach charges the processing revenue fee to the merchant.

FEE - FRAUD ENGINE

Reach charges the fraud coverage revenue fee to the merchant.

MERCHANT MARKUP

The foreign exchange (FX) revenue that the merchant requested as markup if Reach trades the transaction.

FEE - FINANCING

Reach charges the financing revenue fee to the merchant.

FEE - REFUND

Reach charges the refund revenue fee to the merchant.

FEE - TRANSACTION

Reach charges the transaction revenue fee to the merchant.

FEE - TAAS

Reach charges the tax revenue fee to the merchant.

FEE - PASSTHROUGH

The passthrough fee is passed through Reach from the Payment Service Provider (PSP) onto the merchant.

NET AMOUNT

This value is Reach's final settlement amount with the merchant, net of all fees and taxes.

SETTLEMENT DATE

The merchant will receive the Net Amount settlement on this date.

PROCESSED DATE

The date when the transaction was processed.

PLATFORM ORDER ID

The payment platform-provided ID for the order (e.g., Shopify).

PSP TRANSACTION ID

The payment service provider's (PSP) transaction identifier.

NOTES

A field for text notes, if any.