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What are the Rules for Generating Invoices and Credit Memos when Invoice Settlement is enabled?

What are the Rules for Generating Invoices and Credit Memos when Invoice Settlement is enabled?

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Re: What are the Rules for Generating Invoices and Credit Memos when Invoice Settlement is enabled?

Under Billing > Define Billing Rules, there are three Invoice/Credit Memo generation rules: 

1. Split all negative charges to credit memo
2. Create credit memos only for net negative billing
3. Create credit memos only for net negative billing without charge grouping

 

Reference: https://knowledgecenter.zuora.com/CB_Billing/Invoice_Settlement/B_Credit_and_Debit_Memos/Rules_for_G...

 

Here is the sample subscription. It has two monthly Charge A and Charge B and the subscription is activated on 01/01/18. 

Recurring
Flat Fee Pricing
-15.00 / Month
1.00
-15.00
Recurring
Flat Fee Pricing
10.00 / Month
1.00
10.00
  
Screen Shot 2018-11-13 at 3.41.16 PM.png

 

Example 1, use rule Create credit memos only for net negative billing
Via bill run, Invoice with amount $30 and CM with amount $45 is generated. 
Invoice $30

01/01/2018 to 01/31/2018
  1
10.00
10.00
02/01/2018 to 02/28/2018
  1
10.00
10.00
03/01/2018 to 03/31/2018
  1
10.00
10.00
 Screen Shot 2018-11-13 at 3.55.45 PM.png

 

CM $45: 

Charge A
  02/01/2018 to 02/28/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge A
  03/01/2018 to 03/31/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge A
  01/01/2018 to 01/31/2018
15.00 USD
15.00 USD
0.00 USD
 
 Screen Shot 2018-11-13 at 3.56.57 PM.png

 

Example 2, use rule Create credit memos only for net negative billing without charge grouping

Via bill run, CM with amount $15 is generated. No invoice is generated. 

Charge A
  06/01/2018 to 06/30/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge A
  07/01/2018 to 07/31/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge B
  05/01/2018 to 05/31/2018
(10.00) USD
(10.00) USD
0.00 USD
 
Charge B
  06/01/2018 to 06/30/2018
(10.00) USD
(10.00) USD
0.00 USD
 
Charge B
  07/01/2018 to 07/31/2018
(10.00) USD
(10.00) USD
0.00 USD
 
Charge A
  05/01/2018 to 05/31/2018
15.00 USD
15.00 USD
0.00 USD
 

Screen Shot 2018-11-13 at 3.51.25 PM.png

Example 3, use rule Split all negative charges to credit memo

Via bill run, Invoice with amount $10 and CM with amount $15 is generated. Invoice $10:

04/01/2018 to 04/30/2018
  1
10.00
10.00

Screen Shot 2018-11-13 at 4.19.27 PM.png

CM $15:

Charge A
04/01/2018 to 04/30/2018
15.00 USD
15.00 USD
 Screen Shot 2018-11-13 at 4.21.57 PM.png

View solution in original post

1 REPLY 1
Highlighted
Support SME

Re: What are the Rules for Generating Invoices and Credit Memos when Invoice Settlement is enabled?

Under Billing > Define Billing Rules, there are three Invoice/Credit Memo generation rules: 

1. Split all negative charges to credit memo
2. Create credit memos only for net negative billing
3. Create credit memos only for net negative billing without charge grouping

 

Reference: https://knowledgecenter.zuora.com/CB_Billing/Invoice_Settlement/B_Credit_and_Debit_Memos/Rules_for_G...

 

Here is the sample subscription. It has two monthly Charge A and Charge B and the subscription is activated on 01/01/18. 

Recurring
Flat Fee Pricing
-15.00 / Month
1.00
-15.00
Recurring
Flat Fee Pricing
10.00 / Month
1.00
10.00
  
Screen Shot 2018-11-13 at 3.41.16 PM.png

 

Example 1, use rule Create credit memos only for net negative billing
Via bill run, Invoice with amount $30 and CM with amount $45 is generated. 
Invoice $30

01/01/2018 to 01/31/2018
  1
10.00
10.00
02/01/2018 to 02/28/2018
  1
10.00
10.00
03/01/2018 to 03/31/2018
  1
10.00
10.00
 Screen Shot 2018-11-13 at 3.55.45 PM.png

 

CM $45: 

Charge A
  02/01/2018 to 02/28/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge A
  03/01/2018 to 03/31/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge A
  01/01/2018 to 01/31/2018
15.00 USD
15.00 USD
0.00 USD
 
 Screen Shot 2018-11-13 at 3.56.57 PM.png

 

Example 2, use rule Create credit memos only for net negative billing without charge grouping

Via bill run, CM with amount $15 is generated. No invoice is generated. 

Charge A
  06/01/2018 to 06/30/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge A
  07/01/2018 to 07/31/2018
15.00 USD
15.00 USD
0.00 USD
 
Charge B
  05/01/2018 to 05/31/2018
(10.00) USD
(10.00) USD
0.00 USD
 
Charge B
  06/01/2018 to 06/30/2018
(10.00) USD
(10.00) USD
0.00 USD
 
Charge B
  07/01/2018 to 07/31/2018
(10.00) USD
(10.00) USD
0.00 USD
 
Charge A
  05/01/2018 to 05/31/2018
15.00 USD
15.00 USD
0.00 USD
 

Screen Shot 2018-11-13 at 3.51.25 PM.png

Example 3, use rule Split all negative charges to credit memo

Via bill run, Invoice with amount $10 and CM with amount $15 is generated. Invoice $10:

04/01/2018 to 04/30/2018
  1
10.00
10.00

Screen Shot 2018-11-13 at 4.19.27 PM.png

CM $15:

Charge A
04/01/2018 to 04/30/2018
15.00 USD
15.00 USD
 Screen Shot 2018-11-13 at 4.21.57 PM.png

View solution in original post