Good day! Allow me to be the one to help with your questions about recording processing fees, mike418.

You can edit the sales or invoice transactions and add the Etsy fee in the second line item. However, I recommend checking with your accountant about what expense account to use to maintain accurate bookkeeping.

Start by creating a service fee item that represents the processing charges from Etsy. Here's how:

1. Go to the Gear icon and select Products and Service.
2. Choose New and select Service.
3. Indicate what account to use in the Income account field.
4. Enter all the details and click Save and close. 

Once done, open each sales transaction and use the item you just created. Here's how:

1. Go to the Sales menu and select Invoices or All Sales.
2. Select a transaction with an Etsy fee.
3. Choose Edit invoice.
4. Add the Etsy fee in the second or next line right after the last item in the invoice.
5. Click Save and close. 

Details about this are also discussed here: Add Service Fees Manually to Invoices.

Let me know if you're able to record the Etsy fees. You can also ask follow-up questions in your reply if you need anything else.