Charge Codes

Tools > Accounts Setup > Charge Codes

Charge Codes are user defined charges which can be added to action codes or used to create journal entry charges to the client.

Creating a new charge template

A charge code must be unique. Enter your new charge code in the "Code" field. This is a short name used to both easily identify and generate the charge within the Action. I.e. for example Solicitors Costs on SOC could be SOLSOC

IMPORTANT: The code should not contain any spaces or characters other than letters or numbers; except a full stop.

Describe the charge in the field labeled “Description”.

Enter the text to appear on the invoice where indicated, if different to the description. If this is left blank, the charge description will be used.

Select an appropriate group for the charge to belong to.

Tip: Right-mouse click on the charge group field to zoom to the Charge Group page to maintain the charge group, or create a new one.

Select an appropriate transaction type for the charge to belong to.

Tip: Right-mouse click the transaction type field to zoom to the Transaction Type definition page to maintain transaction types.

IMPORTANT: Transaction types are defined as recoverable or non-recoverable, which indicates if the transaction type is considered legally recoverable in the eyes of the Courts. If your charge is recoverable from the debtor, wherever the amount charged to the client is less than the debtor, the system will automatically store the difference as agency costs. When the debtor pays the charge, this amount will potentially be either be withheld from the client (if trust banked) or charged to the client (if paid direct to them).

Tick the check box labeled “Hold/Defer Charge” if the charge is to be calculated now but charged later.

Tick the check box labeled “Ignore Agency Costs” if the charge code should not affect the agency/deferred costs recorded against the debt.

Tick the check box labeled “Always Show On Invoice” if the charge code should always be shown on the invoice, regardless of the amount being charged. This means that even though global settings may be to ignore zero charges on an invoice to the client, these charges will still appear even when zero. This way the client can see they have not been charged for a work that has been done.

Define Charge as it affects the Debtor

Click the button labeled “Debtor” on the Navigation Bar.

Input the tax rate to be applied to the debtor if any.

If the tax is to be included in the amount of the charge, tick the box labeled “Tax Inclusive Debtor”. If this is un-ticked, any tax will be added to the charge amount.

The charge to the debtor can be calculated based on one of the following

 

Flat Amount

 

In the case where the charge to the debtor is just a flat amount, enter the amount where specified.

If a prompt is entered in the “User Prompt” field, when the charge is called within the Case Manager, a pop-up will appear with the user prompt. See screen-shot below.

screenshot1.PNG
 

In the case where the charge to the debtor is just a flat amount, enter the amount where specified.

If a prompt is entered in the “User Prompt” field, when the charge is called within the Case Manager, a pop-up will appear with the user prompt. See screen-shot below.

Based on Fee Scale

In the case where the charge to the debtor is determined by the amount owing, a fee scale can be created (See Fee Scales for further details) and selected from the list.

To view and amend the fee scale, right-mouse click on the fee scale file to maintain. Select the Fee Scale based on Fields from the drop down.

screenshot1.PNG

Based on Legal Entity

In the case where the charge is determined by the legal entity, first select if based on client or debtors legal entity then refer to each legal type (i.e. a row for each legal type MUST be created and a charge defined against it) then nominate a flat amount OR a fee scale.

To view and amend the fee scale, click the button on the row containing the fee scale to view.

image1.png

If “Consolidate the charge on Address” is un-ticked, the amount will be charged for each defendant/debtor. If ticked, it will only raise additional charges for additional debtors if their legal addresses and legal types are not identical.

IMPORTANT: When choosing to charge based on legal entity, you must ensure a legal entity has been assigned to the case debtors and to the client. If there is no legal entity, or the legal entity on them is not referenced in the charge code, a user alert will inform you at the time of running the charge and the action will be terminated.

screenshot1.PNG

Define Non-disbursement (Professional Fees) Charge as it affects the Client

Click the button labeled “Client Non-Disbursement” on the Navigation Bar.

Input the tax rate to be applied to the client for non-disbursement charges if any.

If the tax is to be included in the amount of the charge, tick the box labeled “Tax Inclusive Client (non-disb)”. If this is un-ticked, any tax will be added to the charge amount.

The charge to the client can be calculated based on one of the following

Flat Amount

image1.png
 

In the case where the charge to the client is just a flat amount, enter the amount where specified.

If a prompt is entered in the “User Prompt” field, when the charge is called within the Case Manager, a pop-up will appear with the user prompt. See screen-shot below.

screenshot1.PNG
 

The user has the means to accept the default flat amount, or change it.

Based on Fee Scale

In the case where the charge to the client is determined by the amount owing by the debtor, a fee scale can be created (See Fee Scales for further details) and selected from the list.

To view and amend the fee scale, right-mouse click the fee scales field then maintain.

screenshot1.PNG

Based on Legal Entity

In the case where the charge is determined by the legal entity, first select if based on client or debtors legal entity then refer to each legal type (i.e. a row for each legal type MUST be created and a charge defined against it) then nominate a flat amount OR a fee scale.

To view and amend the fee scale, click the button on the row containing the fee scale to view.

image1.png

If “Consolidate the charge on Address” is un-ticked, the amount will be charged for each defendant/debtor. If ticked, it will only raise additional charges for additional debtors if their legal addresses are no identical.

IMPORTANT: When choosing to charge based on legal entity, you must ensure a legal entity has been assigned to the case debtors and to the client. If there is no legal entity, or the legal entity on them is not referenced in the charge code, a user alert will inform you at the time of running the charge and the action will be terminated.

screenshot1.PNG

Based on Time

To calculate a charge based on time spent, you must first create a fee scale for the hourly rate less GST. Once this is done, select the fee scale where indicated on the screen.

Input the tax rate to be applied to the client if any.

If the tax is to be included in the amount of the charge, tick the box labeled “Tax Inclusive Client”. If this is un-ticked, any tax will be added to the charge amount.

Describe the charge where indicated. The description can be altered at run-time.

Select the minimum units to calculate the charge from.

Once the charge has been defined, the user can click the “Timed Activity” button on the Case Manager, Case Details page and the charge can be selected from the list.

The charge can then be applied either to the client, the debtor or both.Define Disbursement Charge as it affects the Client

Click the button labeled “Client Disbursement” on the Navigation Bar.

Input the tax rate to be applied to the client for disbursement charges if any.

If the tax is to be included in the amount of the charge, tick the box labeled “Tax Inclusive Client (disb)”. If this is un-ticked, any tax will be added to the charge amount.

The charge to the client can be calculated based on one of the following

Flat Amount

 

In the case where the charge to the client is just a flat amount, enter the amount where specified.

Based on Fee Scale

In the case where the charge to the client is determined by the amount owing by the debtor, a fee scale can be created (See Fee Scales for further details) and selected from the list.

To view and amend the fee scale, right-mouse click the fee scale field and maintain.

Based on Legal Entity

In the case where the charge is determined by the legal entity, first select if based on client or debtors legal entity then refer to each legal type (i.e. a row for each legal type MUST be created and a charge defined against it) then nominate a flat amount OR a fee scale.

 

To view and amend the fee scale, click the button on the row containing the fee scale to view.

 

If “Consolidate the charge on Address” is un-ticked, the amount will be charged for each defendant/debtor. If ticked, it will only raise additional charges for additional debtors if their legal addresses are not identical.

IMPORTANT: When choosing to charge based on legal entity, you must ensure a legal entity has been assigned to the case debtors and to the client. If there is no legal entity, or the legal entity on them is not referenced in the charge code, a user alert will inform you at the time of running the charge and the action will be terminated.

screenshot1.PNG

Charge Groups

Tools > Accounts Setup > Charge Groups

Group your charges into categories, making income reporting more tailored to your needs.

Creating a new Charge Group

A charge group code must be unique. Enter your new charge group code in the "Code" field. This is a short name used to both easily identify and generate the charge group within the Charge Code. i.e. Legal Costs could be LEGAL

IMPORTANT: The code should not contain any spaces or characters other than letters or numbers; except a full stop.

Describe the charge code in the field labeled “Description”.

Click “Save” to save your fee scale.

Fee Scales