Configuring Billing Items
A billing item is something that you would like to charge your client for. Think of these as line items on an invoice that you send to a client.The first stage in configuring vintrace for billing is to set up these items.
You create new, edit or deactivate billing items by heading into Winery Setup – Billing – Items.
Select Items and click on New item option to create a new one.
Start by entering basic Item information.
- Code a shorthand code to refer to this item, an example might be TANKHIRE
- Description a more detailed description of the item, such as Storage charge for tank hire
- Charge type indicate the applicable type of charge this item will raise. For example a Volumetric charge type will multiply the amount set in the Price list by the number of Litres/Gallons of the wine involved in the billable operation.
- Per unit – used for multiplying specific quantities of a chemical Addition to calculate the total charge amount
- Man hours – used for multiplying the hours taken to complete a winery job
- Volumetric – used to multiply either the volume or weight of the wine/grapes
- Fixed – will bill exactly the amount specified within a Price list
- Per pallet – will bill per pallet / distribution of an Inventory stock item
- Per barrel – will raise a charge per barrel involved in the operation, for example $5 per barrel topped
- Category – this field is used on client billing invoices to show high level overview of your clients’ charges. If you don’t enter a value for this field, it will be auto assigned based on the the type of charge you have selected in any of the links tab.
- Linked Item Id – use this field to indicate the linked Item code from your Accounting package. This allows invoices to be exported from vintrace to your accounting system. In some instances, such as exporting charges to Xero as CSV you will need to set this as the account code, i.e. 200, where account code 200 refers to the appropriate accounting ledger account for billing winery services.
- External tax code – this field is used when exporting charges to indicate the accounting packages tax code for this Item. For example No Tax or GST on Income (or the basic sales tax rate for your state, county or city) in the case of exporting charges to Xero as CSV.
- Tax state – for invoicing purposes indicate whether this item should be taxable or not. Tax is calculated based on the Tax Rate nominated on the Price List
- Account – Use the drop list to select the account category with which this item will be linked (Cost of Goods, Revenue, etc).
You then have the option of linking this Item to specific operations and actions within the system so that charges are automatically raised as day-to-day winery work is entered.
Use this tab to link the new item into specific Additions, Operations or Treatments. When these are used within the system for a billable batch of wine this item will be included as a charge for your client’s Service Order.
If you link this item to specific additives, when that additive is used on a work order a charge will be raised. For example, you might have a $1 per kilo fee for additions of SO2. You would check the SO2 option in your additive list, ensure the charge type is “Per unit” before configuring the Price list for that customer with a $1 value.
You can link a single item into multiple operations within winery but be careful in doing so as it may cause unexpected results. An example where you might want to do this is when billing for labor. You could have a labor charge configured with a charge type of “Man hours” and linked to all applicable operation types where labor is charged.
A treatment is effectively a configurable operation type within vintrace and as such you can link a charge item to it to bill when that treatment is used as part of a work order. A common example is billing for Cross flow filtration at $1.50 per litre/gallon. You would have a Cross Flow Item setup with a Charge Type of Volumetric. You would then link this Item to the Cross flow treatment you have configured in the system ensuring your price list for that customer contained a value of $1.50.
Use this tab to link the new item to Analysis Templates (Panels) or specific lab tests via the Metric checklist. When lab work is entered for a billable wine batch and the above tests used, then a charge will be raised against the client’s Service Order.
These options allow you to link an Item to one or more Analysis templates (or Panels). These are just common groupings of tests performed in the lab and so where we charge a flat fee of $10 for a pre-bottling analysis, you would configure the Item to have a charge type of “Fixed” and then the Price List would have a value of $10 for that Item.
For more control you can link an Item into specific tests in the case you charge for single tests such as an Alcohol at the request of your customer. Often these would be configured as “Fixed” charge types as well.
Use this tab to link the new item to specific Inventory functions. You can link this item to a particular Stock category and when a billable stock item within that specified Stock Category is Packaged/Manufactured a charge for this new item would be raised. Linking this new item to a Stock action will raise a charge for a billable stock item when that action is used. Similarly, linking this item to a specific Stock Item will raise a charge when that specific item is used within a Bill of Materials for a Packaging/Manufacture for a billable stock item.
For detailed information on “Billing for tank and barrel storage, hire, and hosting”, click here.
Defining billable Stock Items
In order to see Stock items within the Stock Links tab of your Item setup you will need to flag those items that should be considered as ‘billable’. To do that, edit the Stock Item and check the Billable option. Billable Stock Items are typically those dry good components such as Glass, Corks, Capsules and Labels that may be used as part of a Packaging or Manufacture and for which you want to specifically charge; i.e., you’ve supplied them as opposed to your client having brought in their own stock.
Defining billable Wine Batches
To define a Wine batch as billable ensure that it has the appropriate Service Order configured against it. When creating a new Batch ensure you set this field.
If your batch does not have a Service order set, then the billing is charged against the Default Service Order for the product owner of the wine. This field is set in Address Book > Owner role > Edit.
Once you have your Billing Items set up (you can always add, deactivate or edit them in the future), you are ready to start assembling them into Price lists.