Fixed price billing—Contracts

This topic is only applicable to termed contracts. A termed contract has both start and end dates.

The Fixed price billing method covers a variety of pricing models and billing scenarios, such as:

• Flat rate recurring price: a fixed amount invoiced on a recurring basis. For example, 20.00 a month for a subscription streaming service.
• Flat rate with custom billing cycle: a fixed amount invoiced at defined intervals. For example, 500.00 for a one-year term support service contract divided into six billing periods of 83.33 each.
• Fixed quantity at a fixed rate: a fixed quantity multiplied by a fixed rate using the contract line calculator. For example, 25.00 license fee per user per month for 5 users.
• One-time fee: a fixed amount invoiced one time. For example, a setup fee of 50.00.
• Fixed-fee project billing: a fixed amount associated with a project. For example, 10,000.00 for a software implementation project billed using the project's percentage of completion.

See more fixed price billing examples.

Add a fixed price contract line

1. Do one of the following:
   • Add a contract line from the Contracts page:
     1. Go to Contracts > All > Contracts.
     2. Find the contract to which you want to add a contract line.
     3. Select Edit at the end of the row.
     4. Select Add located above the top-left corner of the Contract lines grid.
   • Add a contract line from the Contract lines page:
     1. Go to Contracts > All and select Add (circle) next to Contract lines.

     2. Use the Contract dropdown to select the desired contract.

        Intacct populates the page with default information from the selected contract.

2. Use the Item dropdown list to select the desired product or service.
3. If applicable, use the calendar tool to select the desired Start and End dates and/or GL posting date.
4. Use the Billing method dropdown list to select Fixed price.
5. Use the Flat/fixed amount frequency dropdown list to select whether the flat/fixed amount is a one-time fee, will be divided into installments (Use billing template), or is a recurring amount (Include with every invoice).
   • If you selected "Include with every invoice", use the Billing frequency dropdown list to select the interval for recurring billing and then indicate whether or not to Prorate partial periods.
   • If you selected "Use billing template", use the Billing template dropdown list to select the desired billing template and enter the Start and End dates.
6. Use the Calculator fields as applicable to calculate the flat/fixed amount or just enter an amount in the OR Enter amount field.

   Learn more about how the Calculator fields work for fixed price contract lines.

7. Use the Revenue template dropdown lists to select the revenue templates and use the calendar tool to select the desired Start and End dates for each template.
8. Use the dropdown lists to select any Dimension values.
9. Select Post.

1. Do one of the following:
   • Open an existing contract in Edit mode. Select Add located above the top-left corner of the Contract lines grid. The Contract Line popup window appears.
   • Go to Contracts > All > Contracts and select Add (circle) next to Lines. In the Contract Line page, use the Contract dropdown list to select the desired contract.

     Intacct populates the page with default information from the selected contract.

2. Use the Item dropdown list to select the desired product or service.
3. If applicable, use the calendar tool to select the desired Start and End dates and/or GL posting date.
4. Use the Billing method dropdown list to select Fixed price.
5. Use the Flat/fixed amount frequency dropdown list to select whether the flat/fixed amount is a one-time fee, will be divided into installments (Use billing template), or is a recurring amount (Include with every invoice).
   • If you selected "Include with every invoice", use the Billing frequency dropdown list to select the interval for recurring billing and then indicate whether or not to Prorate partial periods.
   • If you selected "Use billing template", use the Billing template dropdown list to select the desired billing template and enter the Start and End dates.
6. Use the Calculator fields as applicable to calculate the flat/fixed amount or just enter an amount in the OR Enter amount field.

   Learn more about how the Calculator fields work for fixed price contract lines.

7. Use the Revenue template dropdown lists to select the revenue templates and use the calendar tool to select the desired Start and End dates for each template.
8. Use the dropdown lists to select any Dimension values.
9. Select Post.

Learn more about contract line fields.

Add a fixed price contract line for a fixed fee project

Contract lines associated with fixed fee projects are usually billed using billing templates. You can use a billing template that defines a custom billing schedule (predefined percentages) or a percentage of completion billing template.

1. Create the applicable fixed-fee project.
2. Do one of the following:
   • Add a contract line from the Contracts page:
     1. Go to Contracts > All > Contracts.
     2. Find the contract to which you want to add a contract line.
     3. Select Edit at the end of the row.
     4. Select Add located above the top-left corner of the Contract lines grid.
   • Add a contract line from the Contract lines page:
     1. Go to Contracts > All and select Add (circle) next to Contract lines.

     2. Use the Contract dropdown to select the desired contract.

        Intacct populates the page with default information from the selected contract.

3. Use the Item dropdown list to select the project item. This is the item associated with a billable task associated with the desired project.
4. If applicable, use the calendar tool to select the desired Start and End dates and/or GL posting date.
5. Use the Billing method dropdown list to select Fixed price.
6. Use the Flat/fixed amount frequency dropdown list to select Use billing template.
7. Use the Billing template dropdown list to select the billing template and enter the Start and End dates for the billing template.
8. Use the Calculator fields as applicable to calculate the flat/fixed amount or just enter an amount in the OR Enter amount field.

   Learn more about how the Calculator fields work for fixed price contract lines.

9. Use the Revenue template dropdown lists to select the revenue templates and use the calendar tool to select the desired Start and End dates for each template.
10. In the Dimensions section, use the Project dropdown list to select the related project. This links the project to the contract.
11. If applicable, use the Task dropdown list to select the related task.
12. Use the dropdown lists to select any other Dimension values.
13. Select Post.

1. Create the applicable fixed-fee project.
2. Do one of the following:
   • Open an existing contract in Edit mode or add a new contract. In the contract, select Add located above the top-left corner of the Contract lines grid. The Contract Line popup window appears.
   • Go to Contracts > All > Contracts and select Add (circle) next to Lines. In the Contract Line page, use the Contract dropdown list to select the desired contract.

     Intacct populates the page with default information from the selected contract.

3. Use the Item dropdown list to select the project item. This is the item associated with a billable task associated with the desired project.
4. If applicable, use the calendar tool to select the desired Start and End dates and/or GL posting date.
5. Use the Billing method dropdown list to select Fixed price.
6. Use the Flat/fixed amount frequency dropdown list to select Use billing template.
7. Use the Billing template dropdown list to select the billing template and enter the Start and Enddates for the billing template.
8. Use the Calculator fields as applicable to calculate the flat/fixed amount or just enter an amount in the OR Enter amount field.

   Learn more about how the Calculator fields work for fixed price contract lines.

9. Use the Revenue template dropdown lists to select the revenue templates and use the calendar tool to select the desired Start and End dates for each template.
10. In the Dimensions section, use the Project dropdown list to select the related project. This links the project to the contract.
11. If applicable, use the Task dropdown list to select the related task.
12. Use the dropdown lists to select any other Dimension values.
13. Select Post.

Next steps

Generate invoices

Post revenue recognition