Setting Contract Parameters

  1. Specify this information on the Contract Parameters form:
    Contract Prefix
    Specify a default static prefix to use for all contracts. The system uses this value to generate the next available contract number.
    Service Type
    Select the unique alphanumeric code representing the type of contract being sold to a customer. The codes available are set up and maintained through the Contract Service Types form.
  2. Specify this billing information:
    Contract Maximum Hours
    Specify how many hours that a contract can be billed for one day. This is used for calculated contracts with lines that are billed by date.
    Bill for Holidays
    Select this check box to apply calculated contract rates on days that are marked in the system as a holiday.
    Weekly Billing Times

    Use these fields, in conjunction with the Billing Max Hrs/Day field, to define the time basis used to bill time-sensitive calculated contracts. For example, if the Monday open time is 8 a.m. and the close time is 6 p.m., and the Billing Max Hrs/Day is set to 6, then the contract only incurs charges for 6 hours even though a 10 hour period is designated.

  3. Specify this information for rental contracts:
    Rental Contract Prefix

    Specify a prefix to use for new contracts that are created with a contract type with the Rental check box selected.

    Default Rental Warehouse
    Select the warehouse to use on all rental contracts by default.
    Default Rental Location
    Select the location to use on all rental contracts by default.
    Rental Service Type
    Select the contract service type to use for all rental contracts by default.
    Unit Check-Out Status
    Select a status to place on a unit as it is checked out.
    Unit Check-In Status
    Select the status to place on a unit as it is checked in.
    On Hold After Check-In
    Select this check box to put a unit on hold when it is checked in. This indicates the unit is unavailable for rental. You might use this parameter in scenarios where a cleaning or inspection is needed before the unit can be rented again.
    Hold Reason
    Specify the reason for placing the unit on hold.
    Accept Partial Payments
    Select this check box to accept a partial payment during the rental check in/check out process. If this check box is cleared, the user is required to submit payment for the entire outstanding balance before completing the check out. If this check box is selected, a check in/check out can be processed without collecting the entire outstanding balance. An invoice and payment are generated for any amount paid and the remainder resides in accounts receivable.
    Default Check Out Start Date
    Select the date to use by default as the start date for the rental check out. Choose one of these options:
    • Current Date: Upon rental check out, the current date is used as the billing start date. The contract line start date is updated to the current date.
    • Contract Start Date: Upon rental check out, the contract line start date is used as the billing start date.
    Default Contract End Date
    Select the date to use by default as the end date for the contract. Choose one of these options:
    • Rental Check In Date: Upon rental check in, the contract line end date is set to the rental check in date.
    • Manual: Manually update the contract line end date.
    Default Drop Ship To
    Select the drop ship to use by default on purchase orders. Choose one of these options:
    • None
    • Warehouse: the default rental warehouse will be used.
    • Drop Ship To: the drop ship entry needs to be created and specified on the Purchase Order Lines form.
    • Customer: the customer number and sequence from the rental contract will be used.
    • Partner
    • Hold for Pick-Up
  4. Specify these additional parameters:
    Contract Product Code
    Select a product code to use as the default for all new contract lines. This code contains all of the general ledger accounts used for posting the cost of goods sold and revenue amounts on the Contract Invoicing form. Invoicing references the product code of each line during processing.
    Price Basis
    Select the default price to use for new contracts. This basis is used in the calculation of charges when the contract line is invoiced.
    Billing Type
    Select the default billing type value to use for new contracts:
    • Fixed: The contract price is based on the manually entered total.
    • Calculated: The contract price is based on the rates and time periods set up on the header and lines.
    Billing Frequency
    Select the default value to use on new contracts or contract lines for the time period between billing cycles. See Contract Billing Frequency for more information.
    Contract Aging Basis
    When setting up tiered pricing based on the life of a Unit, select the date to use in calculating the duration of the contract.
    Bill in Arrears
    Select this check box if you want to bill at the end of a billing period by default.
    Contract Waiver Account
    Select the account number to use for waiver charges on a contract.
    Contract Surcharge Account
    Select the account number to use for surcharges on a contract.
  5. Use these check boxes to set additional parameters:
    Prorate Line Items
    Select this check box to prorate the first invoice line amount to the number of days it takes to get the contract line billing date to sync with the renewal date, when invoicing a contract line for the first time. For example, the renewal date is 04/01/16, the invoice date is 06/01/16, and the first line has never been invoiced. The start date is 04/05/01 and the billing frequency is a month. The system compares the invoice date to the start date of the line that the line needs to be invoiced. The system notes that to have the line billing date sync with the proration date, the next invoice amount should be generated from 04/05/16 through 04/31/16. Thus it will have an invoice line for 27 days. The next line on the invoice is for a complete month from 05/01/16 through 05/31/16. For subsequent billings, the monthly frequency will continue to be based on the first of the month.
    Use End User Types
    Select or clear this check box to indicate whether or not to use end user types for contracts.
    Bill Initial Period on Sales Order
    Select this check box to apply the invoiced charges for the first contract period to the associated Sales Order through a new line that is added for the initial charge.
    Sync Min Bill Thru and Projected Due Date
    Select this check box to synchronize the Minimum Bill Thru field and the Projected Due Date field with the Check Out Date on the Rental Check Out/In form. The Minimum Bill Thru date and the Projected Due Date are recalculated based on the Check Out Date. This is true when the Check Out Date is system-generated and when it is manually adjusted.

    When this check box is cleared, it is expected that the user maintains the Minimum Bill Thru field and the Projected Due Date field.

    Note: If you manually change the Minimum Bill Thru field and the Projected Due Date field on the Rental Counter, those changes are ignored if Sync Min Bill Thru and Projected Due Date is selected.
    Post Rental Contract Invoice in Background
    Select this check box if you want the posting of a rental invoice to occur in the background. This is useful to prevent customers from having to wait on a rental check out/in if the system is locked up with journal posting.

    You can view the invoice in IDM.

  6. Save the record.
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