Flat Fee Billing

 

Flat fee billing occurs when a client is billed a predefined amount regardless of the amount of work performed. Tabs3's flat fee billing is flexible in that you can bill a flat fee amount when all the work is completed or you can periodically bill a flat fee amount.

Implementing Flat Fee Billing

1. When setting up a flat fee client, enter "0" in the Billing Rate Code field on the Rates tab of the Client file. The "0" indicates that this client is a flat fee client.
2. After entering the Billing Rate Code, the Hourly Rate field is changed to read Flat Amount. Enter the flat fee amount in the Flat Amount field.
3. Select a statement template for the client.
• If you will be billing costs periodically for the client and do not want fees to be billed, select a statement template that uses a Fee Format of No Fees so that fees are not billed.
• If you want the client to see the services rendered for a particular time frame during the course of the work without actually billing the fees, you can use a statement template with a Fee Format of Info Only.
• If you will be billing a flat fee amount on a regular basis, select a statement template that uses a Fee Format of Standard in order to "release" the fee entries for billing.
  
4. Enter all time charges as you normally would for an hourly billed client.
5. When you are ready to bill the client, select a statement template for the client that uses a Fee Format of Standard in order to "release" the fee entries for billing.(Note: No change is required if the client has already been assigned a statement template that uses a Fee Format of Standard.)
6. Use the Adjust Flat Fee Clients program to adjust the fee entries to the client's preset flat amount. If desired, you can specify a range of dates, timekeepers, tcodes, and categories to indicate which fee entries you want adjusted.
7. Run the Generate Statements program.

See also:	Methods of Billing
	Knowledge Base Article R11296 - Including Sales Tax with a Flat Fee