Discount, surcharge, and interest percentages can be controlled at the firm level, or they can be allowed at the client or matter level. In all cases, the default values come from the percentages entered on the Discount/Surcharge/Interest tab in Firm Options.
Use the Discount/Surcharge/Interest tab in Firm Options to set firm-level defaults for discounts, surcharges, and interest.
Click the Save icon to retain any changes made on this tab.
Choose where percentages can be changed
The discount, surcharge, and interest percentage settings can each be set to one of the following options:
| Option | Result |
|---|---|
| Both | The percentage can be changed at the client or matter level. |
| Client | The percentage can be changed at the client level. The client value is used as the default for all matters for that client. |
| Matter | The percentage can be changed on individual matters. |
| Neither | The percentage cannot be changed at the client or matter level. |
Default discount percent
Enter the default discount percentage.
The amount entered here is used as the default discount percentage.
Default surcharge percent
Enter the default surcharge percentage.
The amount entered here is used as the default surcharge percentage.
Default interest percent
Enter the default interest percentage.
The amount entered here is used as the default interest percentage. To determine the interest percent to enter in Juris, divide the total annual percentage by the billing frequency.
Examples:
- If the firm typically bills monthly and wants to charge 18% interest per year, enter
1.5%. - If the firm typically bills quarterly and wants to charge 15% interest per year, enter
3.75%.
The default percentage entered in Firm Options should be based on the firm's typical billing setup. The percentage can be changed on individual clients or matters when they use a billing frequency that is different from the firm's typical billing frequency.
Interest calculation method
Select the method used to calculate interest.
Available options are:
- Simple Interest
- Compound
The calculations are:
Simple Interest = Amount Billed x Interest Percent Compound Interest = (Amount Billed + Interest Accrued on Past Due Balance) x Interest Percent
Time is not included as a separate part of the interest calculation because the billing frequency determines the interest percentage to enter.
Interest grace period
Use Charge interest after how many days to enter the grace period before interest begins to accrue.
Most firms that charge interest give clients at least 30 days to make payment before interest begins to accrue on outstanding balances. This value can be set to the number of days defined by the firm's typical billing agreement.