Create a Service Fee

• Overview
• Adding a Fee Matrix That Calculates a Service Fee
• Option 1: Setting Up the Service Fee to Calculate a Percentage of Specific Line Items
• Option 2: Setting Up the Service Fee to Calculate a Percentage of Specific Line Items Only
• Option 3: Setting Up the Service Fee to Calculate a Percentage of the Entire Element Total
• Applying the Service Fee to an Element
• Adding the Service Fee Amount to the Total Block of an Element

Overview

You can create a fee matrix that calculates a percentage of specific line items on an element or an entire element total. Then you can apply that fee matrix amount to the element to charge to the client.

For example, for every Quote you create you want to add a fee that calculates 1% of the total to account for administrative work, planning, etc. Then you add that 1% fee to the Quote total so it is charged to the client. 

This process involves three main steps:

1. Adding a Fee Matrix That Calculates a Service Fee - This is where you set up the percentages and rules for how the fee matrix calculates.
2. Applying the Service Fee to an Element - When you apply a fee matrix to an element, the amount that the fee matrix calculates will be added to the total price or cost of the element.
3. Adding the Service Fee Amount to the Total Block of an Element - With the fee matrix amount being applied to an element, it is also important to add that amount to the total block of the element so it is visible to the client.

Adding a Fee Matrix That Calculates a Service Fee

First, let's add a new fee matrix and enter some general information:

1. In the  Main Menu, click  Financials, then click Fee Matrices.
2. Click the  Add New Fee Matrix button in the bottom left.
3. In the Name field, enter the fee matrix name (something like "Service Fee").
4. In the Code field, enter a code for the fee matrix (not required, but could be something like "SFEE").

Now you have to decide how you want the service fee to calculate. You have a few options to choose from:

• Option 1: Setting Up the Service Fee to Calculate a Percentage of All Line Items
• Option 2: Setting Up the Service Fee to Calculate a Percentage of Specific Line Items Only
• Option 3: Setting Up the Service Fee to Calculate a Percentage of the Entire Element Total

Option 1: Setting Up the Service Fee to Calculate a Percentage of All Line Items

1. In the Calculation Mode field, choose "Post-Discount."
2. In the Basis field, choose "Price."
3. Click ADD.

After you click ADD, you will see that the Line Item Types tab is now active. This is where you will set up the rules for how the fee matrix calculates. Click the Line Item Types tab, then:

1. Click the  icon in the bottom left TWICE to add two new lines to the grid.
2. In the Line Item Type column, choose "Resource Line" for one line, then "Miscellaneous Line" for the other.
3. In the Percentage column for each line in the grid, enter whatever percentage you want the service fee to be (it should be the same percentage for each line).
4. (Optional) In the Location column, choose a location if you want the service fee to only calculate when that location is being used on an element.
5. Click OK.

Option 2: Setting Up the Service Fee to Calculate a Percentage of Specific Line Items Only

1. In the Calculation Mode field, choose "Post-Discount."
2. In the Basis field, choose "Price."
3. Click ADD.

After you click ADD, you will see that the Resource Types tab is now active. This is where you will set up the rules for how the fee matrix calculates. Click the Resource Types tab, then:

1. Click the  icon in the bottom left to add a new line to the grid.
2. In the Resource Type column, choose the resource type that you want to be included in the fee matrix calculation.
3. Repeat steps 1 and 2 as many times as needed to add more resource types.
4. In the Percentage column for each line in the grid, enter whatever percentage you want the service fee to be (you can technically have different percentages per resource type, but typically they will be the same).
5. (Optional) In the Location column, choose a location if you want the service fee to only calculate when that location is being used on an element.
6. Click OK.

Option 3: Setting Up the Service Fee to Calculate a Percentage of the Entire Element Total

1. In the Calculation Mode field, choose "Post-Discount."
2. In the Basis field, choose "Price Adjusted Total." (see why below)
3. In the Default Percentage field, enter the service fee percentage.
4. Click ADD, then click OK. 

We recommend choosing "Price Adjusted Total" in this situation because you will likely want the fee matrix to calculate a percentage of ALL total block rows of the element, like Subtotal, Sales Tax, Delivery and Pickup, etc. If you choose "Price" then it will only calculate a percentage of the Subtotal. 

Applying the Service Fee to an Element

A fee matrix is applied to an element by using a custom row in the element settings. 

1. On the  Projects menu, click Element Definitions
2. Double-click the element that you want to add the fee matrix to.
3. Click the Custom Rows tab.
4. Click the  Add New Custom Row icon in the bottom left.
5. Enter a Code and Description (the Code will be used later when adding the fee to the total block)
6. In the Calculation Mode field, choose "Fee Matrix."
7. In the Fee Matrix field, choose the fee matrix you created.
8. In the Result Type field, choose "Price."
9. Choose any other options (explained in the full Apply a Fee Matrix to an Element article), although we recommend not entering anything for them or leaving them at default values based on this specific use case.
10. Click OK. 

Adding the Service Fee Amount to the Total Block of an Element

After you apply the fee matrix to an element by creating a custom row, you should add the fee matrix custom row to the total block of the element so your client can see it.

1. On the  Projects menu, click Element Definitions.
2. Double-click the element name that you want to add a total block field to.
3. Click the Views tab.
4. Double-click the view name that you want to add a total block field to (we recommend "Working View").
5. Click the Total Block Rows tab.
6. Click the  Add Total Block Row icon.
7. Enter the total block row details (see a description of each field below)
8. Click OK.

Here is what each column means when you are adding a total block row to an element:

• Caption - This is what the row will be named when you view it on the total block of an element.
• Field Type - This determines what information shows in the total block row. Choose "Custom Row" to add one of the custom rows you created for the element.
• Tax Category - Not applicable for custom rows.
• Custom Row - This is where you will choose the custom row name (code) of the custom row that you want to use.
• Print if Zero - This determines whether or not the total block row will print on a PDF report if the value is $0.
• Bold - This determines whether or not the total block row will print as bold on a PDF report.