Enable Automated Late Fees
Updated over a week ago

What's in this Article

Payments are a big deal for practitioners and it's rough when clients don't make them on time. We have a feature to set up automated late fees so that your clients are motivated to pay invoices in a timely manner. This feature lets you apply a percentage and the number of days past the due date for a client's late fee. You can also choose to apply client rules to choose which clients receive late fees.

Note on QBO: Users with invoices and service items synced to QBO cannot use this feature since QBO doesn't take part in late fees.

Note: You do not have to be enrolled in Canopy Payments to use this feature. You just need to have the Time & Billing license.

Enable Automated Late Fees

1. Click your profile picture/initials on the bottom left of the screen.

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2. Select Settings.

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3. Go to Billing Settings.

4. Under the Invoices tab, scroll to the Late Fees section.

5. Toggle the switch to activate automated late fees.

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6. Select a preset percentage for late fees.

7. Enter a number for day(s) past due.

8. If needed, set client rules for late fees.

  • Pick from All, Exclude, or Include.

  • Choose Tags or Clients.

  • Enter client names or tags in the field below.

9. Select Save Changes.

What Your Client Sees

When Automated Late Fees are active, all outstanding invoices have a Late Fee Notice section to tell clients about possible fees upfront. The message reads, “Invoices are subject to a late fee of (N)% when (N) days past their due date.”.

View Late Fee Added Statuses on the Invoice Dashboard

1. Click Billing on the left sidebar.

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2. Select Invoices.

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3. Under the Status column, select Late fee added and then Apply.

4. Click an Invoice #.

You can see when a late fee is added and how much the late fee is by scrolling down to Invoice History.

Remove a Late Fee

You may have an instance where you need to remove a late fee from an invoice. The only way to do this is to edit an invoice.

1. Click Billing on the left sidebar.

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2. Select Invoices.

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3. Select an invoice that has a late fee.

4. Go to the three stacked dots on the top right and click Edit.

5. Click the

icon in-line with the Late fee line item.

6. Select Preview changes.

7. Choose to either Send or Save the invoice.

Good to Know: When you manually delete a Late Fee from an invoice, it will not be applied to this invoice in the future.

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