Late fees help you manage overdue payments by automatically generating a fee after an invoice has been overdue for a set number of days.
The fee is not added to the original invoice (since it has already been sent). Instead, a new one-off fee is created in the customer or member profile to be invoiced manually or during the next Bill Run.
Summary
Automatically create late fees after invoices become overdue.
Choose how and when late fees are generated.
Apply a fixed percentage to the total overdue amount.
Review all generated late fees in the customer or member profile.
Customize the naming pattern for each generated fee.
How to set up Late Fees?
To activate the automatic generation of late fees for invoices:
Go to Settings > Billing > Billing Rules and open the Fees tab.
In the Late Fees section, click Activate Automatic Late Fees Generation.
Select the Revenue Account where late fees will be tracked.
Select the fee percentage for overdue invoices.
Select the number of days after which the fee will be applied.
Choose how late fees will be generated:
Generate late fee once per invoice – Creates a single one-off fee (X% of the overdue invoice total) after the set number of days.
Generate late fee daily – Creates a new one-off fee (X% of the overdue invoice total) for each day past the overdue date.
Click Save Changes.
Important notes
Please keep in mind the following:
Late fees are calculated on the invoice total (excluding tax/VAT).
Late fees only apply to invoices created after the feature is activated.
To include invoices that are already overdue, manually click Enable late fees on each one.
If you later change the configuration (for example, increasing the percentage), manually update any existing overdue invoices to apply the change.
When generated, a late fee will not be added as a line item to the existing invoice. It will generate a one-off fee in the company or member profile, which you must invoice separately.
Change the name format for late fees
After activating late fees, you can define the name format for how they will be generated.
Go to Settings > Billing > Invoicing and scroll down to the bottom of the page.
Update the Late Fee name template field..
You can use the following dynamic properties:
invoiceNumberfeeDatefeeMonthfeeYearinvoiceMonthpercentplanNamecontractNumber
Use double curly brackets {{ }} around each property. Example: Late fee for {{invoiceNumber}}