Payments & Cash Flow
Currency Conversion in Payment Records
How Flanceflow handles multi-currency transactions, bank exchange rates, and foreign remittance reconciliation between USD and INR.
When an American client sends $2,000 USD via wire transfer, your local bank might deposit ₹1,64,500 INR after deducting conversion spreads and intermediary fees. Flanceflow’s dual-currency payment engine lets you record both the billed foreign amount and the actual deposited home currency.
How to record an international payment with conversion
- Open the USD invoice you wish to reconcile.
- Click "+ Record Payment" to open the reconciliation modal.
- Enter the foreign currency amount received (e.g., "$2,000.00 USD").
- If your workspace base currency is INR, check the "Specify Deposited Base Currency" box.
- Enter the exact amount credited to your bank account (e.g., "₹1,64,500.00 INR").
- Flanceflow computes the effective realized exchange rate and records the transaction without distorting your tax ledger.
- Click "Save". Both amounts are permanently preserved for foreign remittance certificates (such as FIRC / FIRS in India).
Multi-currency payment data points
| Data point | Example value | Where recorded | Tax & compliance purpose |
|---|---|---|---|
| Billed Currency Amount | $2,500.00 USD | Invoice header & PDF receipt | Legal contract value agreed with client. |
| Deposited Home Amount | ₹2,06,250.00 INR | Studio financial ledger | Actual income declared for income tax. |
| Effective Exchange Rate | 82.50 INR / USD | Transaction audit metadata | Verifies bank conversion spread and fees. |
| FIRC / Remittance Note | CITI-IN-98218273 | Payment reconciliation note | Proves export of services for GST exemption. |
International payment tips
- Comparing payout gateways: Compare net realized payouts between Stripe, Wise, PayPal, and direct wire transfers to minimize currency conversion fee loss.
- Bank fee deduction: You can categorize foreign exchange spreads as a business expense in your accounting ledger.
- Locked conversion: Once a multi-currency payment is saved, historical conversion rates remain permanently fixed for consistent accounting integrity.
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