Summary of "Payments Reconciliations Meesho || Meesho P/L Calculation Step By Step || Sell on Meesho"

Video summary

Presenter: Rishi (Rishi Commerce) Video: “Payments Reconciliations Meesho || Meesho P/L Calculation Step By Step || Sell on Meesho”

This video is a practical, step‑by‑step playbook for monthly payment reconciliation and P&L calculation for sellers on Meesho using Google Sheets or Excel. It focuses on matching Orders → Payments → Status → SKU costing → final profitability, and tracks operational KPIs (gross orders, cancellations, RTO, returns, net orders, daily order rates). Key recommendations include waiting ~20 days into the next month to reconcile (to capture late settlements), exporting both the month’s payments and the following month’s payments to capture delayed adjustments, and building a repeatable Google Sheet with pivot tables and VLOOKUPs to automate reconciliation.

Actionable reconciliation playbook (process / framework)

Timing and data export
- Reconcile a month only after ~20 days into the following month so most shipments and settlements have arrived.
- Export:
  - Orders data (order/suborder ID, SKU, quantity).
  - Payments data (order-wise final settlement column, order status / live order status).
- Also export payment data for the following month to capture payments/adjustments related to the prior month.
Build the master workbook
- Create sheets: Orders (raw), Payments (raw — include subsequent-month rows), Consolidated Orders (master list), SKU Costing (master costs), Final Summary.
- Paste order/suborder IDs, SKU, quantity into the master order sheet.
Aggregate payments and dedupe
- Use a pivot table on the Payments sheet keyed by order/suborder number to sum/aggregate payment amounts (this handles multiple credits/debits per order).
- Append next-month payment rows under the month’s payments table (or in the same sheet) so the pivot captures all adjustments.
Map payments/status to orders
- Use VLOOKUP or INDEX/MATCH from the master order list to pull:
  - Aggregated payment amount (final settlement).
  - Live order status (delivered, return, RTO, shipped, NA/cancelled).
- Mark NA or zero payments as cancellations or RTOs depending on status.
SKU-level costing
- Maintain a SKU sheet with SKU → unit cost (single source of truth). Update whenever purchase cost changes.
- Pivot unique SKUs from the Orders sheet to know which SKUs need costing.
- VLOOKUP SKU cost into the master order list and multiply unit cost × quantity to get product cost per order.
Add per-order operational costs
- Packing cost: set a per-unit packing cost (example used ₹5/unit). For exchanges, double packing cost (pack twice).
- Miscellaneous: include labor, rent, damage/loss buffer (video example uses a lump-sum safety amount).
- GST: account separately and consult your CA for exact liability (video assumed ~5% as an example).
Filtering and correct cost inclusion
- Include product cost and packing only for orders actually delivered or exchanged.
- Exclude cancelled orders and “shipped/pending” orders until they finalize (handle these next month).
- Treat returns and RTOs differently: returns typically go back to inventory; RTOs reduce delivered cost.
Final P&L summary
- Payout (sum of payments received from Meesho) minus:
  - Product cost (delivered/exchanged units only)
  - Packing cost
  - Miscellaneous / operational costs → Net profit before GST
- Subtract GST to estimate take‑home profit.

Key spreadsheet techniques & automation

Pivot tables
- Aggregate payments by order/suborder ID.
- Count/aggregate SKUs and statuses for KPI calculations.
VLOOKUP / INDEX–MATCH
- Map aggregated payments & statuses into the master order sheet by order ID.
- Pull SKU cost into each order row and compute cost × quantity.
Filters
- Isolate statuses (delivered, returned, RTO, cancelled) for correct cost inclusion.
Data handling tip
- Keep payments for the month and subsequent month in the same payments table (append below) then re-run pivot to capture all adjustments.

Concrete metrics, KPIs, and example numbers (from the video)

Timing: wait ~20 days into the subsequent month to reconcile.
Example totals shown in the video:
- Payout received from Meesho: ₹33,600 (sum of final settlements for the period)
- Gross quantity/orders: 815
- Gross orders per day: ~27 orders/day (815 / 30)
- Cancellations (NA): 366 → 366 / 815 ≈ 44% cancellation rate
- Net orders after cancellations: 449 (815 − 366)
- RTO: 69 → 69 / 449 ≈ 15% RTO
- Orders that reached customer: 380 (449 − 69)
- Returns: 59 → 59 / 380 ≈ 15% return rate
- Net monthly profit (example after costs): ₹9,470
- Estimated GST (example): ~₹3,000 (illustrative)
- SKU count in example: 66 unique SKUs with orders

Concrete examples / verification tips

If you see a negative payment, copy the order ID and search it in the Meesho portal to verify whether it’s a return/adjustment.
If an order shows zero payment, check whether it was RTO or cancelled.
For exchanges, double the packing cost and treat returns/exchanges as separate statuses in costing.

Actionable recommendations (operational & strategic)

Maintain a SKU master cost sheet as the single source of truth; update immediately when purchase costs change.
Automate month-end reconciliation using pivot tables + VLOOKUP to reduce manual errors.
Always pull payment data for the month and the first 10–20 days of the next month to include adjustments.
Track and improve these KPIs:
- Cancellation rate — investigate causes if high (example was 44%).
- RTO rate — aim for <20%, ideally <15%.
- Return rate — aim to reduce from example’s ~15%.
Use reconciliation to identify problem SKUs (high returns/RTO) and fix listings, images, sizing, or targeting.
Reconcile GST with your accountant; keep P&L before/after GST tracked separately.
Periodically spot-check negative payments and adjustments against the seller portal to validate your sheet and Meesho’s reporting.

Limitations and caveats

Meesho portal data can lag or be inconsistent; reconciliation must handle multiple adjustments per order.
Example numbers in the video (packing, misc buffer, GST) are assumptions; replace them with your actual costs.
Orders in “shipped” status may still be in transit — do not treat them as final until the status settles.