I am trying out erpnext this weekend. The business that I am handling involves a shipping vendor. So when I create a sell order, I will have to add in a shipping cost, this is free to the customer but I’ll need to book it so that I’ll pay the shipping vendor periodically. How should I go by setting this up? Let’s say it is a fixed $100 shipping cost, how can I book it?
You can use sales taxes and charges template…
What this for more help
@rmehta, the video you referred to shows how to use Sales Taxes and Charges Template, but eventually, the tax/charge is added to the sales invoice. I believe the original poster was asking about a scenario where the shipping charges are not to be added to the sales invoice.
Is there a way to add a charge to the sales process, but not add it to the sales invoice? The intent here is to follow up with paying the charge to the shipping company, and also to include the charge in the profit/loss calculation for this sale, but the customer sales invoice shouldn’t show that.
I had raised a topic on this a few days back (Expense during sales cycle), but I think this topic has the same question.
Any suggestions on this would be helpful.
Any update on this topic @rmehta? I’m also trying to figure out how to associate the shipping costs with a sales item.
This is just a typical ‘me too’ message. Thanks
I would also like to know more about this, so as to find a way to add the shipping charges to the without having to include it in the sales invoice. My business deals with regular shipping of goods to the customers, for which I’ve hired the logistics services Dallas. I have to bear the shipping charges myself as the delivery is free for my customers.
Yes, exactly the same case. And this charge hits the profits and should be deducted from profit on every row on invoice, that was included from delivery note that incurred shipping charges.
Since the Shipping charges we talking about is more as an information in the SO. And no accounting impact is needed, why not capture it into the memo or notes section or custom field.
If you want to get reminded to pay the shipping Supplier at the time of SI or DN, then make an email alert conditional on the custom field ( above) reminding for booking of PI (or JE) for shipping charges and make payment.
We are using a gross profit report to calculate commissions, and if someone makes a sale with a profit of 250 EUR, and logistic costs are 200 EUR… well, you see where I’m going with that
This is a key feature need for us.
Current work around is to create a project for every job/order and use the project code on all orders, bills, invoices. Extra work and somewhat cumbersome.
Was waiting for ver 11 to be available on demo to see if customer master as tree allowed creating sub-customers/jobs for which transactions would total up, but would allow cost center type profitability reporting in an easier fashion.
I would be interested too!
Same issue here!
Not many of you have seen this…? Shipping Rule
Thanks for your help but I don’t think this tool addresses the issue. With shipping charges, the shipping cost is not included in the item price. Some customers like to have the shipping cost included in the item price, there´s when the profitability analysis issue arises.
Has there been any updates to this. I’m, also, having the same problem. Here is an overview
We don’t charge our customers shipping and handling fees , so if we proceed with adding the fees in sales order, then the invoice will always be under paid. See example
- Product A = $2
- Shipping = $0.50
- Taxes = $0.75
Total = $3.25
- Product A = $2
- Taxes = $0.75
Total = $2.75
As shown above , our sales invoice will always be lower because we do not charge for shipping to our customers. Instead we bake the cost of shipping directly into our price ($2 in example above)
But for accounting purposes, it’s important that we capture these costs so we can utilize it in the gross margin reports.
Thank you much
Did you get any solution for this case?
I am also having the same issue. We don’t create a sales order, instead create a Sales Invoice directly. We have a rule where shipping is free when the order value is over $30 and the customer has to pay a shipping fee if the order value is less than $30.
On top of all of the above, 99% of the order are cash on delivery and the delivery company collects money from the customer, keep the delivery fee with them and give us only the balance. For example,
- Order value is $40
- Delivery is free for the customer but we have to pay $5 for the shipping company.
- Delivery company collect $40 from the customer and give us $35.
If I make an invoice with the value of $40, this invoice will be underpaid. Reason is that I receive only $35. Since I know how much I have to pay as the delivery fee at the time of finalizing the invoice, I am thinking of solving this issue the following way.
- Create the sales invoice with $40 value items
- Specify the shipping fee in the custom field in the sales invoice ($5 in this case)
- At the time of submission of the sales invoice, automatically adjust the sales invoice total to $35 since the shipping charge is $5.
- When the cash $35 is received make a payment entry to the sales invoice and the invoice is fully paid.
Hope this helps!