When entering a receipt, you can add additional costs charged on the shipment, such as handling charges, service charges, and duty. You can include additional costs charged by the primary vendor, and you can include costs charged by other vendors.
You enter additional cost details by vendor on the Additional Costs tab of the Receipt Entry screen. You can add as many cost details as you need for the primary vendor and secondary vendors.
You can expense these costs or prorate them to received items. You can also edit additional-cost amounts on previously posted receipts that are not yet fully invoiced.
Note: If you return items, later, you can specify how to reallocate costs that were prorated to the returned items on the receipt.
You can post an invoice for each vendor's costs from the Receipt Entry screen, or you can enter the invoices in Invoice Entry.
Proration of Additional Costs
For each additional cost, you can choose from five proration methods. You can choose to expense the cost (No Proration), or you can prorate it by item cost, quantity, or weight. You can also choose to prorate the cost manually.
Note: You cannot change the proration method after you post the receipt.
For examples and information about how costs are prorated, see About Calculating Prorated Additional Costs.
If you do not prorate an additional cost, you expense it to the general ledger account you assigned to the additional cost record or to another account you specify when entering the additional cost transaction.
If you want to prorate or expense a job-related cost to several jobs, you must have a receipt detail for each of the jobs to which you want to apportion costs.
You can also specify retainage for job-related costs.
No Proration for Non-inventory Items
When entering additional costs for non-inventory items, you must select No Proration. If you try to prorate by quantity, cost, or weight, the program displays an error message and prevents you from posting the receipt.
Reporting Prorated Amounts
The Receipts Posting Journal lists the additional cost amounts prorated to each item on a receipt. Use the journal to check the amounts that were prorated automatically during posting or Day End Processing, and to check the amounts you prorated manually.
Tax on Additional Cost Amounts
The tax information for each additional cost detail is determined by the vendor's tax group. For each detail, you can change the tax class and specify whether tax is included in the cost amount (if allowed by the tax authority).
You can also check the tax amount for the detail and the allocated, recoverable, and expensed tax amounts. For more information, see About Tax Information and Amounts.