Create New Surcharge

Last updated

Mar 18, 2025
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Overview

This article provides instructions for creating a surcharge.

Creating a Surcharge

Getting Here: Click Products > Surcharges

Upon accessing the Surcharges screen, a list of existing surcharges displays.
Click New. The Create New Surcharge screen displays.
Notes:
1. Fields that are marked by a red asterisk are required. Be sure to enter values in all required fields on all tabs or you won't be able to save the surcharge.
2. The Translations link enables defining a translation for the field for an associated locale. Refer to Multi-language Translation of Product Elements for more information.

Surcharge Name: Indicates the name of the surcharge.
Client Defined Identifier: A unique ID for the surcharge that you can define for future reference. If you
do not enter an ID in this field, the application defaults this value as the surcharge
name with underscores.
Description: Provides a description of the surcharge. This is for internal purposes and is not visible to your customers.
External Description: The description of the surcharges that your customers see on their statements.
Assignment Level: Indicates if the surcharge is applied to the Account, the Master Plan Instance, or both.
Application Scope: Defines the plans and charges to which the surcharge applies. By default, if a plan is not selected, the surcharge is applied to all plans and services. All application scope calculations are done on a pre-tax basis. Available options include:
- All Charges—Surcharge is calculated for all charges on the invoice, including all services, charges, and inventory items.
- All Plan Charges, All Plans—Surcharge is calculated for all plan charges on the invoice.
- All Plan Charges, Specified Plans—Surcharge is calculated for all charges that belong to specific plans as chosen in the surcharge definition.
- All Plans, Specified Service Charges—Surcharge is calculated for the services that are specified in the surcharge definition.
- Specified Plan/Service Charges—Surcharge is calculated for the combination of services and plans that are specified in the surcharge definition.
- All Recurring Service Charges—Surcharge is calculated for all the recurring services on the invoice.
- All Usage Service Charges—Surcharge is calculated for all usage services on the invoice.
- All Activation Service Charges—Surcharge is calculated for all activation services on the invoice.
- All Item Charges—Surcharge is calculated for all one-time item services on the invoice.
- Specified Item Charges—Surcharge is calculated only for the items that are specified in the surcharge configuration.
- Payment Method—Surcharge is available to be applied to a payment method. For details, see Add a Payment Method.
- Payment Term—Surcharge is available to be applied to a payment term. For details see Add a Payment Term.
Apply to Invoice: Allowable values are as follows:
- Before Discounts: Surcharge amount is discounted when a discount applies to the account.
- After Discounts: Surcharge is not discounted. Surcharge amount is applied after a discount to the account is calculated.
  For example: An invoice has a $100.00 recurring fee which is then discounted by 10% or $10.00. If a surcharge of 5% is applied using Before Discounts, the surcharge would total $5.00. If that same surcharge of 5% is applied using After Discounts, the surcharge would total $4.50.
Present the surcharge as a separate invoice line: Indicates how the surcharge is displayed on the invoice. A surcharge can be included with the original line item, or it can be added to the invoice as a separate surcharge line item.
Tax Group: Defines the tax group used for calculating taxes against the surcharge. This field only displays if Present the surcharge as a separate invoice line is checked. Surcharges are always applied on pre-tax amounts unless the price is tax-inclusive. In this case, you must ensure that the surcharge applies only to tax-exclusive items, or double taxation occurs.
Use the Tax Inclusive Surcharge check box to define these surcharges as tax inclusive. This is viewable when Tax Group is chosen and the surcharge is to be applied as a separate invoice line. When tax inclusive surcharges are generated with this feature, the surcharge amount will be split according to the tax rate, just like tax inclusive recurring charges. You can only set a surcharge as tax inclusive when a Tax Group is chosen and the surcharge is applied offline. For inline surcharges, the inclusive/exclusive tax attribute is inherited from the original charge.
Revenue Account GL Code: Indicates the revenue account general ledger code for the surcharge. This field only displays if Present the surcharge as a separate invoice line is checked.
Account Receivable GL Code: Indicates the account receivable general ledger code for the surcharge.
Rate Calculation Method: Options include Fixed Amount, Percentage (Multiple Tiers) and Percentage (Single Tiers). Indicates whether the surcharge fee is a fixed amount or a percentage of the invoice charges. The fee is calculated as the net line item total for the selected services.
Rate Schedule Name: Enter a name for the rate schedule.
Currency: Enter the currency type (e.g. USD, CAD...etc.)
Minimum Surcharge to Apply: Specify the minimum surcharge to apply. This amount is charged if the rate tier calculation is lower than this amount. This only applies if you are using a Percentage-based Rate Calculation Method (Multiple Tier or Single Tier).
Rate Tiers: Provide the information for the rate tier. If the Description field does not display, set the Use Rate Tier Descriptions parameter to True (Configuration > Client Settings > Miscellaneous Settings). Click the Add Rate Schedule button to have multiple rate schedules.
Include zero in rate tier: If Yes is selected, zero value is considered in the rate tier. If No is selected, zero value is excluded from the rate tier.

Once you have defined the surcharge, click Save. The surcharge is created and displays in the list view on the Surcharges screen.

Note: Surcharges can also be applied or updated via the create_account_complete_m or update_acct_plan_multi_m APIs.