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Charges

Charges play an integral role in determining the expenses and income associated with orders. They are added to an order and subsequently posted to an invoice through the reconciliation process.

The Lifecycle of a Charge:​

  1. Creation:

    • A charge is initially appended to an order

  2. In Progress: Open or Pending

    • "Open" status, signifying that it hasn't been invoiced yet.
    • "Pending" status indicates it isn't ready for invoicing, perhaps because certain criteria haven't been met. For instance, the charge might be added, but the billed weight may not be available.

  3. Invoicing: Posted

    • Post-reconciliation, charges are transferred to the invoice.
    • At this stage, the charge's status transitions to "Posted".

  4. Payment: Paid

    • Once the associated invoice is settled, the charge status updates to "Paid".
    • Importantly, once marked as "Paid", a charge can neither be altered nor deleted.

Charge Details​

  • Charge can be 2 main types: Freight and General.
  • Freight charges are used for freight-related items or services that are direct freight, e.g., Ocean Freight, Air Freight, Ground Freight, etc.
  • General charges are used for items or services that don't fit under Freight or the other listed categories.

Freight Charges​

Freight Charge is a charge that is related to the freight service. It can be either a cost or income. It uses rates to calculate the amount and order commodity to calculate the quantity. In addition, rate and quantity can be entered manually in the charge if needed.

Allow Automatic Update​

If this option is enabled, the charge will be automatically updated when the order is updated. For example, if the order commodity is changed, the charge quantity will be updated accordingly.

General Charges​

General Charge is a charge that is not related to the freight service. General charge rate can be copied from Accounting Items or it can be entered manually in the charge.

Fields:

  • Accounting Item: Accounting item that is used to calculate the amount of the charge and to determine the account to which the charge will be posted.
  • Tax Code: Tax code that is used to calculate the tax amount of the charge.
  • Currency: Currency of the charge.
  • Description: Description of the charge.
  • Bill to Account: Customer Account to which the charge will be billed.
  • Paid As: Determines how the charge will be paid. It can be either "Prepaid" or "Collect".
  • Rate: Rate of the charge. _ (Freight Charge Only) _
  • Apply By: Determines how the quantity will be calculated. Possible values: Pieces, Weight, Volume, Container, Calculated (%) _ (Freight Charge Only) _
  • Is Consolidated: Determines whether the charge is consolidated or not.
  • Show on Document: Determines whether the charge will be shown on the invoice or not.
  • Allow Automatic Update: Determines whether the charge will be automatically updated when the order is updated. _ (Freight Charge Only) _
  • Quantity: Quantity of the charge.
  • Unit: Unit of the charge. Example: kg, m3, etc.
  • Price: Price of the charge.
  • Amount: Calculated amount of the charge. It is calculated as Quantity * Price.
  • Notes: Notes of the charge. Notes are shown on the invoice.