User discounts are the discounts granted by an operator when a sales document is being issued. On the same document, an operator cannot grant a discount higher than the discount which has been assigned to him/her in the system.
A list of the users, along with the maximum discount value assigned to them, is available from the level of the tab Sales → (Discounts) → User Discounts.
User discounts can be expressed in percentage or value (amount) form and they are calculated:
- by granting a discount on a specified document item (manual change of prace, discount or value of an item on document item; hereinfafter referred to as a user discount)
- to the whole document, the so-called document header discount
Before defining a discount, it is necessary to create an account for a specified user (Configuration → Company Structure → Operators) and assign an employee that account. Them, from the level of the tab Sales → (Discounts) User Discounts, define the maximum amount of a discount that can be granted by the user.
User discount and header value discount are always calculated by adding (they sum up).
Header discounts are available on SI, R, SOR, SO and SQ.
Header percentage discount
The percentage header discount is defined on the discount list as the only one from the user discounts (Sales → Discounts). However, its definition is subject to minor modifiactions – a user can change its name and a method of combining with other discounts.
A percentage discount can be granted both before adding items to a document and after it. Depending on the settings of the method of conbining with other discounts on the the definition of a deader percentage discount, such a discount:
- reduces the value of an item after discount by the header percentage discount and after reducing the value, recalculates the price and the effective item discount – option Multiply
An item discount Customer discount on item has been defined in the system – items LAC001 and K00020, customer Shoes4You, discount value 4%. Price of items LAC001– 10 USD, K00020– 20 USD. In the definition of the discount header, the parameter resposible for the method of combining with other discounts is set on value Multiply. 1. An invoice for the customer Shoes4You has been issued. VAT direction on a document is calculated form subtotal, whereas discounts are calculated from a price. 2. A discount of 2% (0.0200) has been entered in the document header 3. While adding the item LAC001 (quantity 1 pcs), item discounts of this item are calculated as first LAC001: 1* (10 USD * (1 – 4%)) = 9.6 USD 4. Then the header percentage discount of 2% is calculated LAC001: 1* (9.6 USD * (1 – 2%)) = 9.41 USD 5. Item value LAC001 after discounts, amounts to 9.41 USD 6. Calculating price and effective discount LAC001: price 9,41 USD / 1 = 9,41 USD; effective discount (10 USD – 9,41 USD)/10 * 100 = 5,9%
- adds the header discount to the item discount and will finally calculate an item price, depending on the parameter settings Discount on price – option Add
An item discount Customer discount on item has been defined in the system – items LAC001 and K00020, customer Shoes4You, discount value 4%. Price of items LAC001– 10 USD, K00020– 20 USD. In the definition of the discount header, the parameter resposible for the method of combining with other discounts is set on value Add. 1. A sales invoice is issued. VAT direction on a document is calculated form subtotal, whereas discounts are calculated from a price. 2. A discount of 2% (0.0200) has been entered in the document header 3. While adding the item LAC001 (quantity 2 pcs), item discounts of this item are calculated as first LAC001: 2 * (10 USD * (1 – 4%)) = 2 * 9,6 USD = 19,2 USD 4. Then the header percentage discount of 2% is calculated LAC001: 2 * (10 USD * (1 – (4% + 2%))) = 2 * 9,4 USD = 18,8 USD 5. Item value after discounts 18,8 USD 6. Calculating price and effective discount LAC001: price 18,80 USD / 2 = 9,40 USD; effective discount (1 USD – 9,40 USD)/10 * 100 = 6%
If the header percentage discount has been granted after calculating the value discount, the system will recalculate this discount on the items in accordance with the standard order – item discounts, a user discount on item, a header percentage discount and a header value discount.
Header value discount
After entering the amount of header value discount in the document header, the system divides this amount into document items proportionally to their values.
When adding items to a document, the value discount is calculated:
only on the items which were added to the document before entering the discount
if a user enters the header percentage one morde time, then, the system recalculates all discounts for each item according to the standard order
The minimum margin control may lead to the situation that the item value cannot be reduced by the proportional part of the header percentage discount of this item. In such a case the system will try to divide this amount into the remaining items on a document.
In case of deleting an item from a document on which a header value discount was calculated, the system verifies whether the total of header value discount amounts on the other items equal to the amount specified in the header.
In the system, there are two items: A SI was issued for 1 unit of the item LAC001 and 1 unit of the K00020: SI document value is 32,20 USD. A header value discount was granted in the amount of 30.00 USD. Values of the items change as follows after calculating a discount: Next, the quantity of the LAC001 was decreased on the document item from 1 pack to 0.5 pack. As a result, the system does change neither the discounted price (the price 0.83 USD will remain) nor the total amount of the header value discount (11.37 USD), it will just add a negative user discount to the items amounting to -5.69 USD so as to equalize the total discount to that from before the changed item quantity. This way it can be observed in the discount structure that the item was still modified after the header value discount had been calculated.
[/alert] The header discount value is calculated only on these items which have been added on a document before this discount has been set. If a user sets a header value discount on a document and then adds new items, the system does not divide this discount one more time and will not take it into account on all items added as new. [/alert]
Header discount on transaction value
Header discount on transaction value allows for calculating a discount which depends on the value of the whole document. The discount is granted to a customer if the value of the transaction reaches one of defined thresholds.
A step necessary defining a discount is defining the value of granted discount for at least one threshold. A user determines the value/percentage of a granted discounts, its currency and a threshold defining its effectiveness.
When creating a header discount on transaction value, apart from the standard fields available in the discount definition item discounts, a user can also define additional parameters determining the method of calculating document value:
- Include items not subject to discounts – selecting this parameter allows for including into transaction value items which have parameter Subject to discounts unchecked on item form
- Include bundles not subject to header discounts – selecting this parameter allows for including into transaction value bundle promotions for which the parameter Include header discounts is unchecked in discount definition
