August 23, 2024
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Late fees can be assessed and billed for one or more clients.

Setting Up Late Fees

Late fee rates can be configured at the company level, which can apply to all clients, or be overridden for specific client.

Configuring Company Late Fees

You can specify late fees on the Invoices tab of General Settings:

1. On the main task bar, click (Settings).
2. Select General Settings.
3. Click the Invoices tab.
4. In the Late Fees section, select Calculate Late Fees.
5. Specify the Annual Interest Rate.
6. Select the Customer Terms Description, which determines the period of nonpayment before late fees begin to calculate. This can be set to 30 Days, 45 Days, or Upon Receipt.
7. Optionally specify the Grace Days, which determine when to start charging late fees.
8. Click ✓ Save.

For example, if you specify terms of Upon Receipts and allow 15 Grace Days, the client will be assessed a late fee 15 days after the invoice date, calculated from the date of the invoice.

Specify the Last Date a Late Fee was Assessed

When first enabling late fees, you can set when late fees start using the Utilities.

1. On the main task bar, click (Settings).
2. Select General Settings.
3. Click the Utilities tab.
4. In the Utility Options field, select Update Open Invoices Last Late Fee Date.
5. Select the desired Last Late Fee Date.
6. Click ✓ Save.

Select Clients to be Assessed Late Fees

You can set up which clients are to be assessed late fees one at a time, or in a batch.

To set up a single client to be assessed a late fee

1. From the menu, select Clients.
2. Select a client.
3. Select the Settings tab.
4. In the Late Fees section, set the Use Company Defaults check box to use the global rate.
   …or…
   Select Interest Rate, specify an Annual Interest Rate, select a Customer Terms Description, and specify Grace Days to assess a late fees specific for this client.
   …or…
   Select None to not assess late fees for this client.
5. Click ✓ Save.

To set up multiple clients to be assessed a late fee

1. On the main task bar, click (Settings).
2. Select General Settings.
3. Select the Utilities tab.
4. In the Utility Options field, select Client Terms. The terms will be filled in with the default settings.
5. Specify an Annual Interest Rate, select a Customer Terms Description, and specify Grace Days to assess a late fees specific for this client.
   …or…
   Select None to not assess late fees for this client.
6. Click ✓ Save.

Generating Late Fee Statements

To assess late fees, a statement must be generated.

1. On the menu, select Reports.
2. Select the Accounting tab.
3. Select Statements – Generate Late Fees. All invoices will be displayed.
4. In the Calculate Late Fees Thru field, select the date through which you want to calculate late fees.
   • The Global Search field can be used to locate records containing specific text. Once specified, an indicator will be displayed showing how many records contain that text. To clear the search, click the red X icon to the right of the field.
   • The Fee Date column shows the date of the last late fee. If no date is shown, use the Utilities as shown above to set the Fee Date.
   • The Grace Days column shows the number of Grace Days the client has.
   • The Fee to Apply column shows the late fee amount that will be billed to the client. If this field is $0.00, then no late fee will be assessed.
5. Select the invoices you want to process and click the Process Late Fees button.
6. On the menu, select Billing & Invoices.
7. Select Invoice Review.
8. Select the late fee statement(s).
9. Optionally set the Finalize Action (Print, Email, or Finalize Only).
10. Click ✓ Finalize.

Learn More

• Overview of General Settings
• Invoice Review