Invoice: Create An Invoice - Installment Billing

Newton User Guide: Accounting - Invoice/Billing

Required Software Version: Spring 2017

Related Pages

Invoice: Create An Invoice Invoice: Edit An Invoice Policy & Billing Client Payment: Agency Bill Cash

Related Categories

Agency Bill Payables Receivables

Option (A): Create a Single Invoice with System Generated Installments

The procedure below should be used when the client pays the agency on an installment basis.

If the installment amounts vary and will need edited during the policy period, or you need to print specific invoices (not Client Statements), use create separate invoices for each installment.

Step 1: Setup an Installment-Type Invoice

1. Load a Client on a client tab.
2. On the Client Dashboard tab select the (+) next to Policies. (To expand the band by default, see: Preferences)
3. Left-Click the desired policy number to open the Policy Dashboard. (Optionally, Left-Click on the premium value to jump directly to Policy & Billing.)
4. Select Policy & Billing within the top toolbar. The last transaction for the policy is displayed. If needed, select a prior policy sequence.
5. Verify the transaction is not invoiced. If the policy transaction is already invoiced, first create a new policy sequence using the policy menu or the Policy Dashboard.
6. Verify the Bill Method is Agency Bill. (The default bill method is specified in the Company Profile.)
7. Verify the Invoice Date (This will be the due date for the down payment).
8. Select Next to create the first invoice line.
9. Enter the full premium in the Amount field and press <TAB>.
10. Verify the invoice line values, pressing <TAB> to jump to the next field. Each value will default from the policy.
    • Transaction
    • Class
    • Company - It is common to change the invoice company to a parent company that is different than the policy company.
    • Department
11. Verify the commission details. (Broker Billed commissions are calculated differently.)
    • The Agency Commission defaults from the Company Profile. The commission can be entered as a percentage of the premium, or a dollar amount.
    • The Producer and Producer Commission default from the Producer Profile. The commission can be entered as a percentage of the agency commission, or a dollar amount.
    • The Sub Producer will default if it is saved to the client. Verify the commission which defaults from the Producer Profile.
12. Optionally enter a short Description which will display for the line on the printed invoice.
13. Select Invoice Type -> Installment.
14. Verify Print Line is Yes.
15. Enter in the Down Payment. (This will be considered due on the Invoice Date).
16. Enter in the No. of Installs. (The system will calculate the amount of the installments, based on the premium less the down payment divided by number of installments).
17. Enter Start On Install. (Typically set to 1. Example: if 2 is entered and there are 11 installments, the first 2 installments will be due on the First Payment Date).
18. Enter in Every __ Months. (Example: If the annual policy will be billed monthly after the down payment is collected, 11 would be entered. Should the installments not be equal, the difference will be included in the last installment).
19. Enter in First Payment Date. (The date the first installment will be due).
20. Select Finish or Save to finalize the invoice. (Optionally, select Next to add tax or fee lines to the invoice. If the tax and fee amounts will be included in the installments, set the line(s) to Installment).
21. Newton will generate an invoice number and create all of the general ledger receivables and payables for the invoice. Select Print or Email.

Step 2: Record the Client's Down Payment

First, create the installment invoice, leaving Policy & Billing open. If not already opened, find and open the invoice from the Client Tab.

1. From Policy & Billing select Create Client Payment. Press <TAB> after each step to step skip to the next field.
2. Enter the client's Check Number. (Press <F2> for cash)
3. Enter the Amount received.
4. Verify Cash Type -> Regular.
5. Enter the Date the cash was received.
6. Verify the Bank.
7. Verify the Department.
8. Optionally, enter a Description.
9. Select OK.
10. Select Yes or No to print.
11. Exit the Policy & Billing window.

Option (B): Create Separate Invoices for Each Installment

The procedure below should be used if installment amounts vary and will need edited during the policy period, or you need to print specific invoices (not Client Statements).

If the installments do not change, and client statements are used, see #Option (A): Create a Single Invoice with System Generated Installments above.

Step 1: Setup a Regular-Type Invoice for Each Installment

1. Load a Client on a client tab.
2. On the Client Dashboard tab select the (+) next to Policies. (To expand the band by default, see: Preferences)
3. Left-Click the desired policy number to open the Policy Dashboard. (Optionally, Left-Click on the premium value to jump directly to Policy & Billing.)
4. Select Policy & Billing within the top toolbar. The last transaction for the policy is displayed. If needed, select a prior policy sequence.
5. Verify the transaction is not invoiced. If the policy transaction is already invoiced, first create a new policy sequence using the policy menu or the Policy Dashboard.
6. Verify the Bill Method is Agency Bill. (The default bill method is specified in the Company Profile.)
7. Verify the Invoice Date (This will be the due date for the first installment).
8. Select Next to create the first invoice line.
9. Enter the premium for the first installment in the Amount field and press <TAB>.
10. Verify the invoice line values, pressing <TAB> to jump to the next field. Each value will default from the policy.
    • Transaction
    • Class
    • Company - It is common to change the invoice company to a parent company that is different than the policy company.
    • Department
11. Verify the commission details. (Broker Billed commissions are calculated differently.)
    • The Agency Commission defaults from the Company Profile. The commission can be entered as a percentage of the premium, or a dollar amount.
    • The Producer and Producer Commission default from the Producer Profile. The commission can be entered as a percentage of the agency commission, or a dollar amount.
    • The Sub Producer will default if it is saved to the client. Verify the commission which defaults from the Producer Profile.
12. Optionally enter a short Description which will display for the line on the printed invoice. (Example: Installment 1 of 12)
13. Select Finish or Save to finalize the invoice. (Optionally, select Next to add tax or fee lines to the invoice).
14. Newton will generate an invoice number and create all of the general ledger receivables and payables for the invoice. Select Print or Email.
15. Select Policy and Insert a Transaction (Audit).
16. Enter Installment for the Transaction.
17. Verify the Bill Method is Agency Bill. (The default bill method is specified in the Company Profile.)
18. Verify the Invoice Date (This will be the due date for the next installment).
19. Select Next to create the first invoice line.
20. Enter the premium for the next installment in the Amount field and press <TAB>.
21. Verify the commission details. (Broker Billed commissions are calculated differently.)
22. Optionally enter a short Description which will display for the line on the printed invoice. (Example: Installment 2 of 12)
23. Select Finish or Save to finalize the invoice. (Optionally, select Next to add tax or fee lines to the invoice).
24. Newton will generate an invoice number and create all of the general ledger receivables and payables for the invoice. Select Print or Email.
25. Continue to Insert a Transaction (Audit) until all installment invoices have been entered.

Step 2: Record the Client's Payment

First, #Option (B): Create Separate Invoices for Each Installment, leaving Policy & Billing open. If not already opened, find and open the invoice from the Client Tab.

1. From Policy & Billing select Create Client Payment. Press <TAB> after each step to step skip to the next field.
2. Enter the client's Check Number. (Press <F2> for cash)
3. Enter the Amount received.
4. Verify Cash Type -> Regular.
5. Enter the Date the cash was received.
6. Verify the Bank.
7. Verify the Department.
8. Optionally, enter a Description.
9. Select OK.
10. Select Yes or No to print.
11. Exit the Policy & Billing window.