Markups/Discounts
You can use the Markups feature to designate a percentage or flat rate markup to an original service (such as for a seasonal markup or for a fuel surcharge).
You can also use this feature to provide discount rates under specific situations. You would simply specify a negative percentage or flat rate to identify a discount vs. a markup.
To calculate markups and discounts, the system monitors charges for a
matching facility, customer, and bill group, also considering the effective
date range of the markup/discount. If it finds a match, it looks at the
markup/discount detail information to perform any additional calculations to
the charge.
- Required?
- No. If you do not need to markup or discount charges, you do not need to configure these records.
Prerequisites
- Facility. Every Markup/Discount record must be associated with a facility.
- Customer/Bill To/Bill Group. You can optionally restrict a markup/discount to a specific Customer, Bill To Customer, or Bill Group.
- Charge Code. The charge code identifies which service requires the markup or discount.
- Corporations. You can identify a specific corporation/department/account to which revenue from the markup should be credited (or discount should be debited).
Header Fields
At the header level, you identify where (which facility) and to whom the markup or discount applies.
- Facility
- The facility in which this markup or discount applies.
- Customer/Bill To/Bill Group
- The matching criteria to determine which charges should be marked up or discounted; only charges that match these values will be reviewed. The markup will also be billed to the same Bill To on the charge.
- Effective Date
- The date on which these markups or discounts are effective.
- Expiration Date
- The date when these markups or discounts are no longer effective.
- Active
- Indicates whether this record is currently active. You can easily disable markup and discount calculations by turning this flag off.
- Separate
- Indicates whether the markup/discount modifies the original charge or if a new charge should be created. This flag can be used to split out the markup onto a different line on the invoice detail.
Detail Fields
At the detail level, you identify which services (charge codes) are affected and the markup or discount amounts for each unique service.
- Invoice Type
- The specified markup or discount will only be calculated on invoices of this type.
- Charge Code
- The specified markup or discount will only be calculated on charges of this type.
- Type
- Identifies the type of markup or discount: a flat amount or a percentage of the original charge.
- Charge Markup
- The amount in either a currency value (flat) or percent. Enter markups as positive values, and discounts as negative values.
- Markup Charge Code
- The charge code to use for the markup. If left blank, it will use the original charge code. If the markup should be diverted to a different G/L account, a different charge code can be specified in this field.
- Corporation/ Department/Account
- The general ledger account that should be credited (for markups) or debited (for discounts).