About Contract Rates

Contract rates are set on the Contract Rates form. Set rates as a fixed amount or calculated as a percentage of the item's Manufacturer's Suggested Retail Price (MSRP).
Note: If you are integrated with Distribution SX.e, the MSRP is retrieved from Distribution SX.e.

For serialized items, the percentage is calculated as follows:

  • Contract Rate Percent * List Price on the Units form.
  • Contract Rate Percent * Unit Price 1 (and Markup calculation) on Item Pricing form if the List Price on the Units form is 0 or empty.

For non-serialized items, the percentage is calculated as follows:

  • Contract Rate Percent * Unit Price 1 (and Markup calculation) on the Item Pricing form.
Note: If the List Price on the Units and Item Pricing forms is 0, then the percentage value is 0.

Leap years

When applicable, the system considers these amounts to account for leap years:

  • One year is 365.25 days
  • One week is calculated by dividing 365.25 by 52 to get 7.024 days

These are examples of situations when the system would calculate a year as 365.25 days:

  • Unit of rate is Month and billing frequency is Weekly

    The weekly rate is calculated as (monthly rate) * 12 / 365.25 * 7

  • Unit of rate is Month and billing frequency is Daily

  • Unit of rate is Year and billing frequency is Weekly

    The weekly rate is calculated as (yearly rate) / 365.25 * 7The daily rate is calculated as (monthly rate) * 12 / 365.25

  • Unit of rate is Year and billing frequency is Daily

    The weekly rate is calculated as (yearly rate) / 365.25

Consumables

For rental contracts, you can use the Consumables unit of rate to sell products that are related to rental items. The Consumables option is not listed on the Contract Rates form, but it is available from the Unit of Rate fields on forms throughout the Rental module.

Note: Consumables are only supported if you are integrated with Distribution SX.e.

See Working with Consumables for more information.