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.
2. Select Settings.
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.
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.
2. Select Invoices.
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.
2. Select Invoices.
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.