Fixed Rate Invoicing

With fixed rate invoicing, periodic invoicing is skipped and the amount agreed upon will be invoiced on start or at end of the rental as determined by the Prepaid setting on the line.

To determine a lower (fixed rate) price for the rental duration, a manual calculation can be used in the Rental Rate Price structure, in which the No. of Rate Units is calculated on creation of the Rental document (Quote, Reservation, and Contract) and can be changed manually.

Changes to the rental rates can be made for individual lines or allocated equally amongst all lines. You can also choose to include components (rate parts) in the overall calculation/allocation. For updating individual lines, you can adjust the Unit Price Total Rental Time and Amount Total Rental Time fields directly in the lines. For allocating the rate/price changes, you must use the fields in the Fixed Rate FastTab on the Rental document.

Invoice Period

The Invoice Period field defines the invoicing interval of the rental contract and the rental document lines. To use fixed rate invoicing, the Invoice Period field must be set to Fixed Rate in either the General FastTab or in the Lines FastTab. Additionally, the setting of the Invoice Period determines which fields can be edited in the Lines and Fixed Rate FastTabs and under which circumstances.

Invoice Period	General FastTab	Lines FastTab	Field(s) editable in Fixed Rate FastTab	Adjust Individual Lines	Allocate to Lines	Description
Fixed Rate	✗	✗	- Include Components - Fixed Unit Price Total Rental Time - Fixed Amount Total Rental Time	✗	✗	- Manual adjustments can be made to the Unit Price Total Rental Time and Amount Total Rental Time fields on individual lines. - Adjustments can be automatically allocated to all lines (including or excluding rate components) using the Fixed Unit Price Total Rental Time field or the Fixed Amount Total Rental Time field in the Fixed Rate FastTab.
Fixed Rate		✗	Fixed Rate Unit Price	✗	✗	- Manual adjustments can be made to the Unit Price Total Rental Time and Amount Total Rental Time fields on individual lines. - Adjustments can be automatically allocated only to lines with Rental Position = Rental using the Fixed Rate Unit Price field in the Fixed Rate FastTab.
Not Fixed Rate	✗	✗	Fixed Rate Unit Price		✗	- Manual adjustments cannot be made to the Unit Price Total Rental Time and Amount Total Rental Time fields on individual lines. - Adjustments can be automatically allocated only to lines with Rental Position = Rental using the Fixed Rate Unit Price field in the Fixed Rate FastTab.

If the Invoice Period is changed on the General FastTab prior to entering lines, no message will open. If changed after lines are entered, a message will open asking to confirm the field change and update the lines. Once the Fixed Rate option is set in the General FastTab and transferred to the lines, it cannot be changed in the lines.

Fixed Rate FastTab

The fields on the Fixed Rate FastTab are described in the following table.

Field Group	Field	Description
	Include Components	Determines if the rate part components are included in the fixed rate calculation. This field is only editable if Invoice Period = Fixed Rate in General FastTab.
Subtotals	Subtotal Rate Unit Price	Indicates the current subtotal of the Rate Unit Price field on all included Rental document lines.
	Subtotal Unit Price Total Rental Time	Indicates the current subtotal of the Unit Price Total Rental Time field on all included Rental document lines.
	Subtotal Amount Total Rental Time	Indicates the current subtotal of the Amount Total Rental Time field on all included Rental document lines.
Fixed Rate	Fixed Rate Unit Price	Specifies an adjusted unit price for all lines with Rental Position = Rental. Entering a value in this field allocates the adjusted unit price evenly to the lines and updates the Rate Unit Price fields accordingly. This field is only editable if Invoice Period <> Fixed Rate in the General FastTab.
	Fixed Unit Price Total Rental Time	Specifies an adjusted unit price total rental time for the Rental document line(s), including rate parts if the Include Components toggle is turned on. Entering a value in this field allocates the adjusted unit price total rental time evenly to the lines and updates the Unit Price Total Rental Time fields accordingly. This field is only editable if Invoice Period = Fixed Rate in the General FastTab but becomes non-editable if a value is entered in the Fixed Amount Total Rental Time field.
	Fixed Amount Total Rental Time	Specifies an adjusted amount total rental time for the Rental document line(s), including rate parts if the Include Components toggle is turned on. Entering a value in this field allocates the adjusted amount total rental time evenly to the lines and updates the Amount Total Rental Time fields accordingly. This field is only editable if Invoice Period = Fixed Rate in the General FastTab but becomes non-editable if a value is entered in the Fixed Unit Price Total Rental Time field.

Exercise – Process a fixed rate invoice with allocated fixed rate

A customer has agreed to pay 3350.00 to rent an item starting February 1 through December 31. This item typically rents for 350.00 per month but since it is rarely rented in September and October, an agreement was reached to pay this reduced amount, in full, at the start of the rental period.

The Rental Contract is created with Invoice Period = Fixed Rate, the pricing is updated with an allocation, and the invoice is posted for the full amount.

Set up the price structure

Choose the icon, enter Rental Price Lists, and then choose the related link.
Create a new price list or open the existing price list.
Add an entry for this item/machine for:
- Billing Unit = MONTHS
- Unit Price = 350.00

Create the rental contract

Insert a new Rental Contract for the customer.
In the Rental Billing Unit field, enter MONTHS.
In the Rental Start Date field, enter 2/1/2022.
In the Rental End Date field, enter 12/31/2022.
In the Invoice Period field, select Fixed Rate.
Turn on the Prepaid toggle.
On the Lines FastTab, enter the item number.
In the Quantity field, type 1.
Notice that the Total No. of Rate Units field is set to 11.00 and the Unit Price Total Rental Time is 3850.00, which is calculated by the Rate Unit Price * Total No. of Rate Units (350 * 11).

Change the pricing

Expand the Fixed Rate FastTab.
In the Fixed Rate field group, enter 3350 in the Fixed Rate Unit Price Total Rental Time field and then leave the field.
Choose the Yes button to allocate the fixed rate to the rental lines.
Choose the OK button to close the confirmation message.
Notice that the Total No. of Rate Units remains at 11.00 and the Rate Unit Price is changed to 304.55, which is calculated by the Unit Price Total Rental Time / Total No. of Rate Units (3350 / 11).

Process the invoice

On the Home menu, choose the Create Shipment Transfer Orders action.
On the Home menu, choose the Transfer Orders action.
Open the shipment transfer order.
Turn on the Direct Transfer toggle.
On the Home menu, choose the Post action and then choose the OK button in the confirmation message.
Go back to the Rental Contract.
On the Home menu, choose the Post action.
Choose the OK button.
In the Posting Date field, enter 2/1/22.
Leave the Invoice to Date field set to 2/1/22 or change to 12/31/22; the results will be the same.
Choose the OK button to create the invoice and then accept all confirmation messages.
On the Related menu, choose Documents > Invoices.
Open the invoice and notice that the agreement pricing for the entire period is used (3350.00).
Post the invoice and then go back to the Rental Contract.

Process the return

The return for a prepaid fixed rate rental can be done before or after the rental end date using the regular return process; however, an early return will not be credited because the negotiated price is fixed for the rental period (Invoice Period = Fixed Rate). Returns for a non-prepaid fixed rate rental can only be done after the rental end date (after the invoice date).

Set Fixed Rate on Individual Line

To set a fixed rate on an individual line, set the Invoice Period field to Fixed Rate on the General FastTab. This could also be left as the default and changed to Fixed Rate on the line.

On the line that needs the fixed rate adjustment, enter the new rate in the Unit Price Total Rental Time or Amount Total Rental Time field and then leave the field. Notice that the Rate Unit Price has been changed on only the selected line.

Allocate Rate Unit Price on Rental Items

To allocate an adjusted rate unit price on all lines with Rental Position = Rental, set the Invoice Period to something other than Fixed Rate on the General FastTab.

In the Fixed Rate FastTab, enter the adjusted amount in the Fixed Rate Unit Price field. Accept the confirmation messages and then notice that the Rate Unit Price has been changed on only the Rental items.

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