Yes, in practice: gym management software handles payments by connecting to a payment gateway. The gateway collects UPI, card and netbanking payments and settles them into a bank account, while the software records who paid and for what and issues the receipt or invoice. In India the gateway charges a fee on each transaction, so check whether the software adds its own fee on top.
That split decides whose account the money lands in, what each payment really costs you, and how long the desk spends matching payments to members every evening.
Read on for who holds the money, who charges what, how members pay, reconciling desk cash with online payments, and reminder templates for before and after the due date.
Who holds the money: the software or the payment gateway?
The payment gateway holds and moves the money, and the question that matters is whose gateway account it is. A payment gateway is the service that accepts UPI, card and netbanking payments and settles them into a bank account after deducting its fee. Gym software connects to a gateway in one of two ways.
- The gym's own gateway account. You sign up with the gateway, complete its KYC in the gym's name and link your current account. The software creates the payment request and records the result, but the money settles into your bank account and every payment shows in your own gateway dashboard.
- The software company's account. Members pay into an account the software company controls, and the company pays the gym later, after its own deductions. This can be quicker to start, but you depend on their payout schedule, and you need a plan for money in transit if you ever leave.
Our recommended choice, MyGymDesk, uses the first model: members pay by UPI, cards or netbanking through the gym's own Razorpay account, and outside India gyms can connect PayPal through their own business account.
Questions to ask any vendor about payments
- Whose name is on the gateway account, and who completes the KYC?
- Which bank account do settlements go to, and how many days do they take?
- Does the software add any fee or markup on each member payment?
- How are refunds handled, and who starts them?
- If I cancel the software, what happens to the gateway account and to payments in progress?
What gets charged on a gym payment, and by whom?
Three parties can charge you for collecting fees: the software company, the gateway and your bank. In India the gateway charges a fee on each transaction, normally a percentage that varies with the payment method and your agreement with the gateway. Gateways publish standard rates and negotiate others, so no single figure applies to every gym. The rate card in your own gateway dashboard is the number to use.
| Charge | Who charges it | Where you see it |
|---|---|---|
| Software subscription | The software company | Its monthly or yearly invoice to you |
| Transaction fee on each payment | The payment gateway | Deducted before settlement and listed in the settlement report |
| GST on the gateway's fee | The payment gateway | The gateway's invoice to you |
| Any extra per-payment fee | Some software companies | Ask before you sign, then check the settlement report |
| Cash deposit charges | Your bank | Your bank statement |
Keep the GST you charge members separate from all of this. If your gym is GST-registered, gym services attract 5% GST without input tax credit from 22 September 2025, charged as 2.5% CGST plus 2.5% SGST within a State, according to CBIC and the GST Council. That tax belongs to the government, not to the gateway or the software, and it should appear on the member's invoice. Confirm the rate and invoice format for your gym with your CA.
To find what collecting payments really costs you, take last month's settlement report, add up the gateway fees and the GST on them, and divide by the total collected. Repeat it for each payment method if the report splits them, and use the result to decide which method the desk suggests first.
How do members pay: payment links, the member portal, UPI, cards or netbanking?
Members pay through either a payment link or the member portal, and both routes can accept UPI, cards and netbanking. The difference is how the member gets to the payment.
A payment link is a one-time link for a set amount, sent to the member on WhatsApp. The member taps it, pays and is done, with no login. Links suit renewals, dues and one-off items such as a PT package.
The member portal is where a member logs in to see their membership, dues, bookings and invoices, and pays from there. It suits regulars who book classes and like to renew in their own time.
With payment links and the portal, the member makes each renewal payment, so the reminder and the link do the prompting. Using both routes works well: links for anyone who is due, and the portal for members who prefer to manage things themselves.
| Method | Good for | Watch out for |
|---|---|---|
| UPI | Monthly renewals and walk-in payments | Payments to a counter QR code arrive with no member attached |
| Debit or credit card | Members paying with a company card or for card rewards | Gateway fees can differ by card type |
| Netbanking | Annual memberships and corporate tie-ups | Slower for members who rarely use it |
| Cash at the desk | Members who prefer it | Needs a receipt every time and a count at closing |
UPI payments to a QR code on the counter cause many reconciliation headaches, because each one arrives as a name and an amount with no link to a membership. Where you can, move those members to UPI through a payment link, so the payment arrives already tied to the member who owes it.
How do you reconcile desk cash with online payments?
Reconciliation means matching every rupee received to a member and an invoice, then matching the day's totals to the cash drawer and the gateway's settlements. Do it daily for cash and weekly for online payments, and month end becomes a short check.
A closing routine the desk can follow every night:
- Count the cash drawer and compare it with the cash receipts recorded in the software for the day.
- Check that every UPI payment to the counter QR code has been recorded against a member, with its UPI reference number.
- Confirm that payments made through links or the portal show as paid against the right members.
- Write down any difference, with the member's name and the amount, in one place the manager reviews next morning.
- Deposit or hand over the cash, and record who did it.
Once a week, the manager matches the gateway's settlement report with the payments list in the software. A gateway payment with no match in the software means a payment taken outside it, such as a link made in the gateway dashboard, or a duplicate. A payment against the wrong member points to a link sent to the wrong person.
Cash brings its own problems, from members who promise to pay tomorrow to receipts that never get written. Our post on cash payment problems in Indian gyms covers those in detail.
How should automatic billing reminders work before and after the due date?
Automatic reminders should start a few days before the due date, repeat on the day, follow up once after it, and then hand over to a person. Members read an early reminder as service and a late one as chasing.
A schedule that suits most monthly memberships:
| When | What to send | Who sends it |
|---|---|---|
| 5 days before the due date | A friendly reminder with the end date and a payment link | Automatic WhatsApp |
| On the due date | A reminder that the membership ends today, with the link | Automatic WhatsApp |
| 3 days after | A polite follow-up offering a freeze if the member is away | Automatic WhatsApp |
| 7 days after | A phone call from the manager, not another message | A person |
Templates to adapt (replace the words in curly brackets):
Hi {name}, your {plan} membership at {gym} ends on {date}. You can renew in a minute with this link: {link}. See you at the {batch} batch!
Hi {name}, your membership ends today. Renew with this link to keep your access active: {link}. Reply to this message if you would like to change your plan.
Hi {name}, we haven't received your renewal yet. Your last plan ended on {date} and the amount due is {amount}. You can pay with this link: {link}. If you are travelling or unwell, just reply and we can freeze your membership instead.
Send reminders only to members who have opted in to WhatsApp messages. Time them for mid-morning or early evening, never during the 6 a.m. batch. Stop the sequence the moment a member pays, because a member who renewed yesterday and gets a "payment due" message today stops trusting your records.
For members who are weeks overdue, the steps in recovering unpaid gym dues take over, and the gym payment recovery calculator helps you put a number on what is still outstanding.
FAQs
Does gym management software charge a fee on member payments?
Some gym management software adds its own fee to each member payment on top of the gateway's charges, so ask before you sign. MyGymDesk adds no fee to member payments; Razorpay's own charges apply. Check any vendor's answer against a real settlement report before you commit.
Can members pay gym fees by UPI through gym software?
Members can pay gym fees by UPI through gym software when the software is connected to a payment gateway that accepts UPI. The payment is then recorded against the member and the invoice, which saves the desk from matching counter QR payments by hand at closing time.
When should a gym send fee reminders?
A gym should send the first fee reminder a few days before the due date, a second on the due date and a third a few days after it. After that, a phone call from the manager works better than more messages, because a member who has ignored three reminders usually has a reason worth hearing.
How do I reconcile cash and online payments at my gym?
Reconcile cash and online payments at your gym by counting the cash drawer against recorded cash receipts every evening, and checking that each UPI or card payment is matched to a member. Once a week, compare the payment gateway's settlement report with the payments list in your software and chase every difference by name.
How MyGymDesk helps
Members pay by UPI, cards or netbanking through your gym's own Razorpay account, with no fee added by MyGymDesk, and renew in the member portal or through a payment link. Automatic WhatsApp reminders go out for fees due, renewals and payment receipts, and the payment integration page shows how the pieces fit together. Start the free trial, 7 days in India with no credit card required, or book a demo to watch a renewal paid from start to finish.
