Service Fees
Overview
Accounts Receivable customers can be charged a service fee (also known as “Finance Charge”) on past-due balances. The service fee generation job can be configured as a system trigger to run automatically each month, or can be run manually.
Configuration
In order for a customer to be subject to service fees, you must edit the customer record, and ensure that the “Charge Service Fees” switch is turned on.
In addition, there are some System Settings that need to be configured. Navigate to System > System Settings, and select the Accountingcategory. Within that category, you will find a sub-category titled A/R Service Fees.
| Setting | Description |
|---|---|
| Default Facility | If the customer does not have a Primary Facility selected, this one will be used on the service charges invoice. |
| Default Terms | If the customer does not have a valid terms option selected, this one will be used on the service charges invoice. |
| Default Rate | The default rate to use in generating the service charges. This can be overridden for each customer class when editing customer classes. |
| Wholesale Invoice | Turn on this switch if you are a wholesaler. |
| Service Charge Item Number | Must contain a valid item number to use for service charges. |
Trigger Configuration
Navigate to System > Setup > Triggers, and create a new trigger. When prompted, select “Generate Service Fees” from the dropdown and click Confirm.
If you intend on generating statements each month manually, then set the Frequency to “Manual”. Otherwise, select Monthly and enter the day of the month you want it to run.
In the right column, you can select any desired parameters, then click “Save and Exit”
| Parameter | Description |
|---|---|
| Customer Classes | If generating statements for only a certain set of Customer Classes, choose them here. |
| AR Categories | If generating statements for only a certain set of AR Categories, choose them here. |
| Customer Custom | If generating statements for only customers with a certain value in a custom field, choose them here. |
Execution
If generating manually, then click the “Play” icon in the grid next to the generate service fees row. If the job is configured to run automatically, nothing more needs to be done.
End Result
A new invoice will be created with the specified settings for each customer who has a past-due balance at the time of generating the service fees. The invoice will have a PO Number and Ref Number value of “***Service Fees***”, it will have a single line item with the amount of the charge, and will have a due date based on the terms for the customer.
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