We’ve been designing & working on a feature to set discounts on payments made before a specified date. I am here to share the current design of it.
The configuration of discount percentage & validity will be set in the Payment Terms such as,
Here we will set the Discount, Invoice Portion and the validity will be defined by Due Date Based On & Credit Days field.
In the above example, 2% Discount will be given on 100% invoice value if payment is made within 2 days after the invoice date.
Next, this can be manually added to an Invoice or Payment Terms Template.
Here, the terms states that 2% discount will be given if payment made within 2 days and if not, payment has to be done within 30 days with no discount.
In the above template, total portion of the invoice is 200%, i.e the validion which checks if it is not more that 100% has been remove.
Now, this allows a user to set payment terms for a discount as well as a normal credit period.
Next, we can attach this template to a customer or supplier and make an invoice against them.
When you create a payment entry against this,
The difference amount will be populated as discount, and it has to be written off against some account.
Submitting the payment entry will update the outstanding invoice and mark it as paid. That concludes the whole process.
This is still under development. Any UX or process changes/feedbacks are welcome.