1. Welcome to PlowSite. Notice a fresh look and new features? It’s now easier to share photos and videos, find popular topics fast, and enjoy expanded user profiles. If you have any questions, click HELP at the top or bottom of any page, or send an email to help@plowsite.com. We welcome your feedback.

    Dismiss Notice

Monthly contracts, statement or invoice?

Discussion in 'Business Fundamentals' started by LwnmwrMan22, Dec 7, 2011.

  1. LwnmwrMan22

    LwnmwrMan22 PlowSite Fanatic
    Messages: 28,362

    I use Quickbooks.

    Currently I use invoices for my monthly contracts, and even my per time accounts.

    If the customer is 30 days late (says payment is due within 30 days or $25 late fee / 2% interest is charged clearly on the bottom of all invoices), I have to then manually add the $25 late fee and 2% interest onto the next invoice.

    I've been thinking of starting to send out statements instead of invoices, as I believe I can set it up where QB will automatically include the late fee on the statement, but I can't figure out how to auto do it on an invoice.

    Which one do you all use?
  2. bristolturf

    bristolturf Senior Member
    Messages: 435

    -go to edit, preferences
    -finance charges
    -company preferences
    -set it up (i dont think you will be able to charge both 2% monthly and add the 25$ fee it. You can set it up so your minimum is $25 or 2% which ever is greater.
    -check the box so it says mark finance charge invoices to be printed
    -click ok

    -on your homepage now there should be a tab that says finiance charges (between statement charges and statements) open (finiance charges, it will be a piece of paper with a red % sign on it
    -it will show all the customers that have pasd due invoices
    -check the ones you want to charge
    -click assess charges
    -and then go file print forms, invoices and all the customers you charged a finance charge to should pop up.

    I will re print that invoice off then print a statement covering from the invoice thats passed due to whatever the current day is and send that as well.

    an invoice is ment to give to the customer for whatever charges they incoured for services during that billing period. If you want to assess finiance charges i always recommend attaching the charged invoice to a statement and sending that to them as oppose to charging it on the next invoice. i usually will take a hi-liter and highlight the finance charge and usually put a past due please remit stamp on it in red so they know its not a new invoice.
    Last edited: Dec 8, 2011
  3. Hunter9

    Hunter9 Member
    Messages: 64

    FWIW I use quick books and invoice each occurrence, then send statements on the last day of the month. I hate collecting each time. My terms are not Net 30 though, they are net 15 for most all of my accounts. 15 days is more than enough time to get paid and I find that most if not all will pay on or near this time frame and keep cash flow moving. It also allows people to pay when they get the bill vs. having it sit around waiting a few weeks for the due date. I do however charge the same $25 fee, but normally do not asses it until they are 30 days out. Again it allows for a small grace period.