Standing charges are considered periodically charged costs for owners, often observed in Vacation Rental industry. These costs can regard all kinds of services, like cable TV, telephone, security, trash collection, pool service and so on. Also the frequency of which these costs are invoiced differentiates, usually weekly, monthly, quarterly semi-annually and/or annually.
When setup correctly, these costs are automatically charged to owners by including them in the periodical settlement of the current account.
Flow of getting standing charges in place:
- Optional: Setup owner invoice criteria with default parameters (cost, ledger, amount)
- Create standing charges on accommodation level, ideally by reusing pre-defined owner invoice criteria
- Add frequency for created standing charges
- A script for standing charges is executed, so the costs are charged on the last day of set frequency
Please note the following on the functionality:
- The price added in owner invoice criteria is considered a default price, but can be overwritten when creating the standing charge itself on unit level
- The price of the standing charge on unit level can be overwritten when a price changes
- Owner invoice criteria is a default template and is not linked to the standing charge. When a price is changing, this should be adjusted on standing charge level
- The script is charging the owner current account per set frequency, based on the setup standing charge on the unit. It is possible to change the created invoice originating from this script, until it is captured in a settlement.