To create a Job Invoice that includes a Holdback, follow the instructions below.
1. From the Main Application Menu navigate to Job Management and select the Job Queue menu option.
2. The Open Job List will be displayed. Click the Ready to Invoice button from the function buttons located at the top of the Open Job List.
3. All Jobs which are ready to be invoiced will be displayed in the grid area. In the upper right of the list, a count of Jobs to invoice will be displayed. In the lower right area the total Install and RMR charges available to be invoiced is displayed.
4. To invoice a Job on the list, highlight the Job in the grid area then click the Invoice button located at the lower right of the form or just double-click on the Job row in the grid area.
5. The Job Invoice form will be displayed. All charges for the Job that have not yet been invoiced will fill into the invoice lines section of the invoice form.
Verify information on the invoice form and make any necessary changes according to your company policies and procedures. click the Save button located at the lower right of the form when finished.
In the example below the Job Hold Back percentage is 10%. There are two Invoice Items on the invoice for a total of $10,500.00. Because our Job Type setup was set to a 10% Holdback, the application has calculated the 10% Hold Back and added a row with the Invoice Item of HB (Item code setup on the Job Type setup) for the negative amount of $1,050.00. If the Hold Back % on the Job Type setup had been set to zero, you would need to manually type in the amount of the Hold Back for the Invoice.
Below is how the G/L was affected by the posting of the Job Holdback Invoice.
Invoicing for Hold Back Amounts
There a two methods for creating invoices for the amounts held back on Job invoices.
- You may create a Hold Back Invoice at any time for all or a partial amount of the total amounts withheld from Job Invoices while the Job is open.
- Let the software create the Hold Back Invoice during the Job Closing process; all amounts withheld from Job Invoices will be invoiced on one invoice.
Where Hold Backs are a part of the contract with your customer, many times the contract dictates that you are not able to invoice for Hold Back amounts until the completion of the project or a number of days after the completion of the project. You have the option of leaving the Job open and waiting to invoice for the Hold Back amounts at some time in the future or you may create the Hold Back Invoice and either change the invoice terms to a longer time than normal or you may change the aging date of the invoice to a date into the future.
Invoicing for Holdback amounts as soon as possible and pushing out the aging date or changing the terms, allows you to close the Job on a timely basis and not affect your current receivables numbers. Of course, the method your company uses is completely based upon your company's policies and procedures.
Follow the links below for instructions on creating Hold Back Invoices for both methods mentioned above.
Hold Back Invoice created during Job Closing
As Job Invoices are created and Hold Back amounts are deducted, these amounts are viewable from the Sales Summary of the Job; see the example below.
