Contract Billing Frequency
Valid options are:
Frequency | Description |
---|---|
Daily | Bill once a day. |
Weekly | Bill once a week. |
28 Day | Bill once every 28 days. With the 28 day billing cycle, there are 13 cycles per year, instead of the 12 cycles used for the monthly billing frequency. |
Monthly | Bill once a month. |
Bi-Monthly | Bill once every other month. |
Quarterly | Bill on 4 quarters of the year. |
Semi-Annually | Bill twice a year. |
Annually | Bill once a year. |
One Time | Bill once for full amount. |
In Arrears | Bill all open contracts where the billed thru
date is less than the process thru date. Note: This option is not supported past
version 2020.08. Use the Bill In
Arrears field instead.
|
You can bill in arrears by selecting Bill In Arrears on the Contract Parameters or Contract Service Types forms. See Contract Billing in Arrears for more information.
How does billing frequency work with unit of rate?
If the billing frequency and the unit of rate is different, the billing frequency is converted into a compatible rate type in two main ways:
- If the billing frequency is month or higher, we convert the rate into "month".
- If the billing frequency is less than a month, we convert the rate into a daily rate.
The 28 Day billing frequency works like a Weekly billing frequency, where the user is billed for seven days of the converted daily rate and for 28 days, the user is billed for 28 days of the converted daily rate. However, when the unit of rate is a month or higher, the conversion is treated differently because all months do not have the same number of days. We therefore cannot use the converted daily rate or you would end up with different rates each month. In this scenario, we convert the rate into an annual rate and divide the value by 13 to get the converted rate.