Using Other Charges for a Discount
“We have a business that offers a progressive discount based on
the invoice total. Would it be possible to assign a negative value to an item in the "Other Charges" category?”
Yes!
The Calculation of Other Charges on a Big Business Quote, Sales Order or Invoice can be used in a variety of ways including:
-Automatically entering a “Fixed Amount” to be included in the Total, but excluded from the Subtotal and Tax (e.g. flat handling charge)
-Calculating a “Percentage of Subtotal” (e.g. Discount, Surcharge, Freight by value)
-Calculating a “Percentage of Taxable“ (e.g. a second tax, VAT, regional tax)
-Calculating a “Percentage of Total“ (e.g. Discount, Surcharge, cumulative Tax)
-Calculating “Weight By” a dollar amount (e.g. Freight by weight)
This Solution describes creating a Discount using the Other Charges field. Look for other Solutions describing the other uses of Other Charges.
(3060)
In Other Charge Pull-Down found in the lower left corner of any sales transaction (Quote, Sales Order, Invoice) select Show List...
Click the Add button on the list to add a new Other Charge definition.
Name your Other Charge. This Name will appear on most printed sales transactions.
Define the method for Automatic Calculation. For a Discount use Percentage of Subtotal.
Define the Percentage as a NEGATIVE number using a percentage, not its decimal equivalent (i.e. -5, not -.05)
Select the appropriate Category being careful to select your Category for Discounts Allowed (to Customers), not your Category for Discounts Taken (from Vendors).
Lock the Calculation to prevent the user from modifying the calculated amount. In the example above, the calculation should be locked because the Name specifies 5%. If you were defining a Family Discount, however, you might want to not Lock the Calculation so that the result can be changed when creating the Sales Transactions.
You can define as many Other Charges fields as you want.
Keep in mind that Other Charges comes after the Subtotal and hence after any Tax calculation. To create a discount which reduces the taxable subtotal, add a discount as a taxable line item.
Related: