Applying a Billing Cap to Individual Budgets

When a project has more than one billable budget, you can prevent individual budgets from being over-billed by applying a billing cap to each of them. If you rely on a project-level billing cap, that will prevent the project from being over-billed but not individual budgets.

For example, if a project's total bookings are 30,000 and the project includes a customer purchase order budget for the amount of 15,000, applying a project-level billing cap will prevent you from billing more than 30,000 against the project but will not prevent you from billing more than 15,000 against the customer purchase order budget. This might result in your customer rejecting invoices for amounts that exceed the 15,000 agreed for that budget.

To apply a billing cap to a budget:

  1. Ensure that PSA is set up to use budget allocations as explained in Setting up PSA to Track Consumption of Individual Budgets.
  2. Open the budget that you want to cap.
  3. Select Apply Billing Cap.
  4. Save your changes.
  5. [Optional] Set a tolerance on the customer's account. See Setting a Tolerance Amount for Individual Customers.

When you attempt to release billing events that will cause the budget amount to be exceeded, PSA:

  • Displays an error message if you attempt to release a single billing event either by clicking the Release button on its record page, or by selecting its Released checkbox.
  • Logs an error in the app log if you attempt to release a batch of billing events from the Billing Events Awaiting Release page. You can check for errors by clicking the View Status button on the page.

This means that you are prevented from over-billing an individual budget.

Setting a Tolerance Amount for Individual Customers

You can optionally set a tolerance amount for individual customers. For example, if the budget amount is 15,000 and the customer's tolerance amount equates to 0.99 in budget currency, PSA will allow you to release billing events up to the value of 15,000.99 but will prevent you from releasing billing events for 15,001 or greater.

Note:

You set a tolerance for a customer by editing a field on the customer's account extension record. The Account Extension object is a core component of Foundations. Other Certinia applications can add fields to this object instead of adding them to Salesforce's Account object.

Your administrator must grant you permission to access the Account Extension object, add the PSA Budget Billing Cap Tolerance field to the Account Extension page layout, and give you permission to edit that field.

To set a tolerance amount for an individual customer:

  1. Edit the account extension record linked to the customer's account.
  2. Enter the tolerance amount in the Project Budget Billing Cap Tolerance field. It can be a maximum of 9999.99. The number you enter is an amount in the account extension currency (not a percentage). The account extension currency must match the account currency.
  3. Save your changes.

PSA converts the tolerance amount to budget currency when checking if billing events can be released without exceeding the cap.