Billing

Overview

With your MemberZone software, we have integrated the entire invoicing process into the software to ensure no double entry and save you time. An Accounting Summary report allows you to post summary from MemberZone to keep QuickBooks, PeachTree and other accounting systems in sync.

Click here to view the v10 Billing - The Basics webinar

Initial Billing Setup

Chart of Accounts

The Chart of Accounts ensures that your financial data is aligned to any existing accounting records and processes. On installation of the software, a sample chart of accounts is provided as a starting point. Edit and add to this list to ensure your database chart of accounts matches your current structure.

Editing the Chart of Accounts

1. Click Setup in the Navigation panel.
2. Click Chart of Accounts in the Finance section. A list to the accounts currently configured in your system will be displayed.
3. Click on the link for the account you wish to edit and make the desired edits.
4. Click Done to save the changes.

Adding a new account to Chart of Accounts

1. Click Setup in the Navigation panel.
2. Click Chart of Accounts in the Finance section. A list to the accounts currently configured in your system will be displayed.
3. Click the Add button.
4. Configure the following settings:

   a. Name - This is the name of the account. This name must match exactly the name of the account in your general accounting software.

   b. Number - This is the number associated with this account.

   c. Account Description - Enter a description of this account. This is for informational purposes only.

   d. Is Active - Select the check-box to activate this account. If the account is not activated, it will not be available for use within the software.

   e. Type - Select the type of account from the drop-down list.

   f. Chapter - If applicable, select the chapter associated with this account.

5. Click Done to save the new account.

Setting Up Payment Terms

By default, payment terms are set to due on receipt. You may modify and add additional payment terms to meet your business needs.

1. Click Setup in the Navigation panel.
2. Click Invoice Terms in the Finance section. A list of invoice terms currently configured in your system will be displayed.
3. Click the Add button.
4. On the Add/Edit Invoice Terms screen, configure the following:

   • Name - Enter a name for this invoice term. This name will be displayed in drop-down lists in the software.
   • Display Name - Enter the display name. This will be displayed on invoices.
   • Default Due Days - Enter the default due days for this invoice term configuration.

5. Click Done.

Setting Up Terms & Conditions

1. Click 'Setup in the Navigation Panel.
2. Click Terms/Conditions in the Finance section.

Setting Up Payment Gateways

Integrated Payment Processing (IPP)

Integrated Payment Processing (IPP) allows your contacts to enter their credit card or bank account information into a secured page to pay invoices, event registration, donations, etc… online. By checking to save this account, users can apply this automatically to recurring fees (e.g. membership) or other one-time purchases. Creating your IPP gateway is a two step process

Step One

1. Click Setup in the Navigation panel.
2. Click Payment Gateways in the Finance section.
3. Click the Add button.
4. On the Add Payment Gateway screen, configure the following:

   • Type - Select Integrated Payment Processor from the drop-down list.
   • Default Gateway - Select this check-box if this will be used as your default gateway.
   • Internal Name - This name is the name you will see internally for this account. You may have multiple processing accounts, perhaps one for your memberships and one for fundraising. In this event, you would add additional IPP gateways for these. This is a way for you to internally recognize with account is used for which transaction.
   • Country - (Optional) Select your country from the drop-down list.

5. Click Done to save the new IPP account.

Step Two

In step two, your business contact and account information is entered. This will also include personal information about the owner of the account. This information is necessary to verify the authenticity of the account holder.

1. For the newly created gateway, click the pencil icon in the 'Actions column.
2. On the Edit Payment Gateway screen, configure the following:

   • Name - this field will be populated with the name previously assigned to this gateway. You may modify it if needed.
   • Default Gateway - this field if populated with your previous choice. You may modify it if needed.

   • Account Number - this field is automatically generated when the gateway is first created.

   • Business Name - this field is automatically populated with the name of your business.
   • Statement Descriptor (Maximum 22 characters) - The statement descriptor appear on purchasers statements so best practice is to enter a descriptor that allows the purchaser to easily identify your organization.

3. Public Contact Info - Enter the contact information for your organization.
4. Decline Charge On:

   • CVC Failure - If you select this check-box, charges will be declined if the CVC fails.
   • AVC Failure - If you select this check-box, charges will be declined if the AVC fails.

5. Bank Accounts - Click the Add button to associate the organization's bank account with this gateway. This is the bank account where funds will be transferred. Once created, this bank account may not be deleted unless another one is added.
6. Account Holder Information - Enter the required account holder information. Enter information about the holder of this account, i.e. the user/business receiving funds from this account. Select Individual or Business account. If selecting Business, the representative for the business is the individual who has been given authorization by their business to set up an account on behalf of the business. This individual is not responsible or liable for any activity that happens on the businesses' account but is required as part of "Know Your Customer" regulations.
7. Additional Owners - In EU countries, we are required to collect and verify information about anybody that owns at least 25% of the company, in addition to the representative. The address of the additional owner(s) does not need to be in the same country as the account. Click the Add button to add additional owners to this account.
8. Identity Document
9. Click Done to save the account information.

Once the form is completed, an authorization process will take place. This is a very quick process, and you will be notified if any thing is missing or inaccurate on the form.

Setting Up Your Invoice Template

A standard invoice template is built into the software. You can use this default template, or modify it to meet your business needs. You may also add a logo to the invoice. Alternately, you may import your existing template into the database.

View/Modify Invoice Template

1. Click Setup in the Navigation Panel.
2. Click Document Generation Templates in the Document Generation section. A list of existing templates will be displayed.
3. Click the Copy icon for the Invoice template.
4. Click OK in the confirmation dialog box. A copy of the invoice template will be available at the bottom of the list of templates.
5. To view the template, click the pencil icon (Edit Template Document). You will be taken to the document editor login. Enter your MemberZone user name and password to launch the document.
6. Enable editing of the document.
7. Complete your changes.
8. Select save and close the document.

Your changes will be saved. You can now choose this template where applicable.

Configure Finance Defaults & Logo for Invoices & Statements

1. Click Setup in the Navigation panel.
2. Click General Settings in the Finance section.
3. Click the pencil icon below Logo for Invoices and Statements. NOTE: the icon is visible when you dwell the mouse below Logo for Invoices and Statements.
4. Click Upload to browse to the location of your logo.
5. Click Open.
6. Crop the image as needed, then click 'Crop & Save.
7. For each of the listed accounts, select your default. This default will automatically be applied when you create goods & services, but you will be able to over-ride if needed.
8. Select your Default Invoice Template. This is the template that will be used for all of your invoicing, but may be over-ridden. Refer to Setting Up Your Invoice Template for details on setting up a template.
9. Select your Default Invoice Terms. Select the terms you wish to use by default. You may add additional
10. Transaction Deletion - This setting determines the number of days in which an invoice or payment may be deleted. Best practice is to limit the transaction window, as once an invoice is deleted, it is completed removed from your view which could cause issues with audits and/or reconciling. Additionally, there is risk that an invoice deleted from the database may already have been posted to your general accounting software. This would cause the two systems to become out of sync. The system provides a Void option that can be used instead of deleting. A void will create a counter entry.
11. Automated Scheduled Billing - The Lead Time Days setting allows you to configure the number of days ahead of invoices needing to be sent out that the system will automatically create the invoices. The lead time gives you time to review the invoices prior to them being emailed out. NOTE: At this time, you will still need to manually kick-off the actual email process.
12. Click Save.

The logo will now be displayed on all of your invoices and statements.

Setting Up Goods/Services

Goods and Services allow you to define the “products” for the memberships, services and products you provide. Upon initial setup of the system you will add high level categories of the items that you offer. Additional good/services may be added as you business needs.

1. Click Setup in the Navigation panel.
2. Click Goods/Services in the Services, Products and Commerce section. A list of Goods/Services currently configured in your system will be displayed.
3. Click the New button.
4. On the Add/Edit Good or Service screen, configure the following:

   • Name - Provide a name for the good/service. This will be displayed when you are selecting goods or services.
   • Good/Service Type - Select a type from the drop-down list. Type is used for filtering and reporting.
   • Product Category - Select a product category from the drop-down list. Product Category is used for filtering and reporting. To add a new product category, click the + sign.
   • Description - Enter a description of the good/service. This description is displayed in the Goods/Services list.
   • Product Description - The Product Description is displayed on the web when this good/service is used. The standard word processing for formatting your text (i.e. bolding, italiczing, etc.) are available. You may also add links and images to the description.
   • Price Period - Select how this good/service is billed. You may select: Annually, Monthly, One-time, Semiannuallly, Quarterly.
   • Default Price - Enter a default price for this good/service. This price may be over-ridden when you are assigning the good/service.
   • Default Quantity - Enter the default quantity for this good/service. This would be used if a minimum purchase for this good/service is required, and may be overridden with you are assigning the good/service.
   • Accounting Type - Select either Cash or Accrual.
   • Revenue Recognition Type - Select how you will recognize the revenue for this good/service.
   • Income Account - Select the income account for this good/service. The drop-down list will be populated with the income accounts currently configured in your Chart of Accounts. You may add a new account by clicking the + sign. If you are unsure as to which account should be selected you will want to check with your accountant, as this will affect your financial statements.
   • Receivables Account - Select the accounts receivable account for this good/service.The drop-down list will be populated with the receivables account configured in your Chart of Accounts.
   • Deferred Income Account - Select the deferred income account for this good/service. The drop-down list will be populated with the deferred income accounts configured in you Chart of Accounts.
   • Deposit Account - Select the deposit account for this good/service. The drop-down list will be populated with the deposit accounts configured in your Chart of Accounts.
   • Default Revenue Recognition Months - If the revenue for this good/service will be recognized over a period of time, enter the default number of months over which the revenue will be recognized.
   • Voluntary - Select this check-box if the fees for this good/service are voluntary.
   • Product Tax Category - If this good/service is taxable, select the appropriate product tax category. The drop-down list will be populated with tax categories currently configured in your system. If you wish to add a new product tax category, click the + button.
   • Tax Set - If this good/service is taxable, select the appropriate tax set.
   • Is Recurring Fee (vs. one-time) - Select this check-box is this is a recurring fee.
   • Invoice Template - Select the invoice template to be used for this good/service.
   • Is Active - Select this check-box to activate this good/service. Only Active items may be billed.

5. Click Done to save the new good/service.

Billing Functions

The Billing module provides the functions to review invoices, view overdue invoices, accept payments, as well as review reports on accounts receivables, and generate the reports needed to reconcile to your general accounting software.

The Billing module displays nine separate tabs to allow you to manage your billing processes:

• Overview - This tab provides a summary view into the present status of your billing.
• Pending Delivery - This tab will display a list of invoices that are currently waiting to be sent.
• Payments - This tab displays a list of all payments you have received.
• Invoices - This tab will display list of all invoices that have not yet been sent out.
• Upcoming Billing - This tab displays a list of all future billing.
• Upcoming Recognition - This tab will display a list of all revenue to be recognized in the future.
• Deposits - This tab will display a list of all previous deposits.
• Credit Memos - This tab will display a list of all previous credit memos.
• Accounting Summary - This tab will display your accounting summary.

Deliver Invoices

The Pending Delivery tab in the Billing Module will provide a list of invoices that have not been sent out. You may process and send out the invoices in the following manner:

1. Select Billing in the Navigation Panel.
2. Click the Pending Delivery tab. A list of all invoices that have not been sent will be displayed. When an invoice is created, you select whether the invoice is to be emailed, printed or both. This choice is displayed in the Delivery Method column. If the database does not have the information needed (address and/or email address) this will be noted by Yes in the Missing Info column. You may click the Yes hyper-link to add the missing information if available.

Deliver Invoices via E-mail

1. To deliver the invoices via e-mail, click the Email Invoices button. A list of invoices to be emailed will be displayed. NOTE: If an email address is not available, the invoice will NOT be displayed in the list. Correct this as described previously.

   

   Configure the following email settings:

   • File Format - Select either PDF or Word Format.
   • From - Select the from email address.
   • Template - If you have created an email template to be used when sending invoices you may select it. If you are not using a template, you will simply be able to type your message.
   • Subject - Enter a subject for the email, and type your message into the text box, if you are not using a template.
   • Select the Invoices to Email. NOTE: You may select invoices individually, or check the top check box to select all invoices in the list.
   • Click Done. You selected invoices have now been emailed.

Print Invoices for Delivery

1. To print invoices for delivery, click the drop-down arrow on the E-mail Invoices button, and select Print Invoices. The Invoices Print screen will display.