How Do I Manage Service Items and User Rates in Billing Settings?
Service items and user rates help you standardize billing, build accurate proposals, and ensure invoices calculate correctly across your firm.
Why This Matters
Service items ensure consistent descriptions, pricing, and engagement terms across invoices and proposals, while user rates allow firms to accurately bill time based on who performed the work and the type of service provided.
Table of Contents
Access Billing Settings
Click your profile picture in the upper-right corner of Canopy.
Select Settings.
Choose Billing Settings.
From Billing Settings, you can manage:
Service Items
User Rates
Add Service Items
Service items automatically apply billing rates, descriptions, and engagement details to invoices and proposals.
To Create a New Service Item
Click Create New Service Item.
Enter a Service Item Name.
(Optional) Add an Invoice Description.
Enter a Billable Rate.
Enter a Service Charge.
Choose how the service is billed:
Per Service (Flat Rate)
Per Hour
Enter a Tax Rate.
Add a Service Item Code.
Add a Proposal Description (this appears in proposals sent to clients).
Attach Task Template(s).
Tasks are created automatically when the proposal is accepted.
Attach a Terms Template or add Service Terms.
Ensures the correct engagement language is included.
QBO Integration Note
If QuickBooks Online is integrated, you can assign:
An Income Account
A Product Category
These fields sync directly from QBO and can be used in Canopy.
Edit or Archive Service Items
Edit a Service Item
Click the service item name in the table.
Make the necessary updates.
Click Update.
Archive Service Items
Select one or more service items using the checkbox.
Click Archive in the table header.
Archived items become inactive and cannot be added to invoices.
To view inactive items:
Click the three-dot menu.
Select Inactive Items.
To reactivate a service item:
Select the checkbox next to the item.
Click Move to Active.
Set User Rates
User rates allow you to define billing rates per team member or apply a firm-wide default rate.
How User Rates Work
Rates apply to:
WIP reports
Invoice configuration
If time entries are linked to invoices, Canopy automatically calculates totals based on user rates.
To Set User Rates
Enter a Default Company Rate.
This applies to all users unless overridden.
(Optional) Enter individual rates for specific team members.
If left blank, the default company rate applies.
Changes save automatically.
Set Adjusted User Rates
Adjusted user rates allow different billing rates based on:
Who performed the work
The type of service performed
This is especially useful when billing hourly services.
Common Use Cases
Experienced Staff or Specialized Services
A CPA performs a service outside their usual role and requires a higher rate.Discounted Services
Offering reduced rates for specific services or staff members.Special Client Exceptions
Higher rates for uncommon services (e.g., audits) provided to select clients.
To Set an Adjusted User Rate
Click the dashed line under the adjusted rate column.
Select the Service Item.
Enter the Adjusted Rate.
When this user invoices for that service item, the adjusted rate overrides the default service item rate.
Summary
Service items standardize pricing, descriptions, and engagement terms across invoices and proposals.
User rates ensure accurate billing based on who performed the work.
Adjusted user rates provide flexibility for specialized services, discounts, and exceptions.
Archived service items remain available for reference but cannot be invoiced.
Need help?
Contact Support or ask Penny, our AI Support Bot, for assistance.