Managing Invoice Surcharges

Invoice surcharges provide a way for users to add invoice line items that automatically calculate based.

Surcharge entries can be useful for calculating penalties and other fees that are determined by a pre-determined rate. Surcharges will recalculate automatically for un-posted invoices.

You can review the list of current surcharges by going to File > Codes & Terms > Cost Code > Surcharge

From the Surcharge Review listing, select “Add” to create a new surcharge entry.

Adding an invoice surcharge for a bank processing fee.

The surcharge code must be unique for the surcharge.

After adding or by choosing “Edit” from the menu will bring up a dialog to set the parameters for the surcharge entry.

The description (which will appear on the invoice), the default rate, the rate basis and the cost code.

Modifying an invoice surcharge entry.

Use the surcharge rate and basis to define the formula that will be used to calculate the surcharge amount.

The surcharge amount is calculated based on all the invoice items that are “above” the surcharge line in the invoice in the current invoice item order.

The surcharge basis can be one the following options:

• LB the specified rate per pound on the invoice item.
• KG the specified rate per kilogram on the invoice item.
• MT the specified rate per metric ton on the invoice item.
• UNIT the specified rate per unit on the invoice item.
• % the rate as a percentage of the invoice item amount. (this is the default behavior)
• $ or 1 the rate is a single, fixed cost per item.

Specify the cost code for this surcharge. This will link the surcharge to the cost code.

Leaving the cost code blank will result in CATS showing the surcharge in the selection list when an invoice item has a surcharge cost code with no “Tax” value.

Un-check the box “Active” to prevent the surcharge from being used on any current or future invoices.

Use the “Class” field to set the surcharge to a specialized surcharge type. Currently the only specialized type is the Carry fee (see below).

Check the box “Only apply to inventory items” to prevent CATS from including non-inventory items in its calculation for the surcharge.

To add a surcharge to an invoice, a surcharge cost code record must be configured.

A cost code configured to use a BANK surcharge

To denote that the cost code is a surcharge type, the “Special” value for the cost code must start with 'SX' (e.g. SXBANK)

In the “Tax” field for the cost code enter the Surcharge code.

If the Tax field is not filled in and there are multiple Surcharge entries linked to that cost code, CATS will prompt the user to select the Surcharge from a list when the invoice item is created.

From the invoice screen choose Items > Add Invoice Item to bring up the new invoice item dialog.

Enter the cost code associated with the surcharge.

If the selected cost code does not have a linked surcharge (via the “Tax” field on the surcharge record) then CATS will prompt the user to select the appropriate surcharge from the list.

Editing the surcharge invoice item

The surcharge invoice item appears differently than a standard invoice item. Only the rate and total amount are displayed.

Use the “Order” field to control which items the surcharge is applied to.

The carrying surcharge is a specialized surcharge entry that is used for adding a carrying charge to sales invoices for material that was picked up late by the customer.