What Are Payment Schedules?
A payment schedule lets you add a payment plan to the invoices. It is a convenient way to obtain multiple payments from your clients. It allows you to manage your client's payment history in a single invoice. This option seems simple, but it will bring so much ease and smoothness to your business transactions.
We will cover:
- Process of Adding Payment Schedules
- Key Advantages
Process of Adding Payment Schedules
Follow these steps to add payment schedules to a particular invoice:
- Click "invoices" from the left menu.
- Make a new invoice or open the concerned invoice and click on the edit button from the top-right corner.
- Make sure to add the client details in the invoice before making a schedule of payments.
- Turn on the "scheduled payment" option from the right side of the invoice.
- Choose a suitable option among percentage or flat amount.
- Fill out the payment amount and due date of each payment.
- Click on "add another payment" to add more payments.
- Once you have made the complete schedule, click on the "update" or“Save”(if you are creating a new invoice) button at the bottom of the invoice.
- Schedule can be seen at the right side of the invoice.
When your clients view an invoice with scheduled payments, they have a few extra payment options. They can make payments on due dates as per schedule. The clients can also select several payments at once to pay multiple scheduled payments in advance.
The "scheduled payment" option can facilitate you in the following ways:
- It eliminates the fatigue of making multiple invoices.
- You don't have to edit your invoice whenever the next payment is due.
- A client's transaction history can be saved and viewed in a single invoice.
- It is easy to manage and track the payment details from a single invoice.
- It gives a clearer view of multiple business transactions with a single client.
How do partial payments and payment schedules facilitate business transactions?
You can either enable partial payments or scheduled payments. Payment schedules will bind your clients to pay each installment within the due date.
On the other hand, partial payments give your clients the flexibility to decide the date and amount of partial payments according to their financial situation. So, clients can make partial payments to make the 100% payment till the due date.
How many Scheduled Payments can we add to an Invoice?
You can add unlimited schedule payments in an invoice. However, the sum of all the payments should be equal to the total balance of the invoice. Also, keep in view the ultimate due date of the invoice while making the schedule of payments.