Understanding Billing Prorates-5003
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Prorates
Prorates are a portion of the full Monthly Recurring Charge (MRC)
- For every prorate, there is a completed corresponding work order
- When adding, removing or disconnecting service, a prorate generates for the amount of time service is active
- The only time a prorate does not generate is when a change is made on the first day of the customer's bill cycle
- Splitting / combining bill statements and changing payment due dates also creates a prorate
- Look at the customer’s statement in BOLT when explaining prorates, so you see what the customer sees
Prorates on the General Ledger and Bill Statement
- Bill Statement: prorates appear in a separate section entitled One Time & Prorated Charges
- General Ledger: prorates appear at the top of the ledger as a separate line item
- The full Monthly Recurring Charge appears after the prorated amount
- The Transaction Type pull down menu sorts by type
- The full Monthly Recurring Charge appears after the prorated amount
Communicating Prorates when Making a Service Change
- Tell your customer the prorated amount they can expect to see on their next bill when making a change in ICOMS
- The prorated amount appears above the Sales Rep number on the Order Entry Services [ES] screen
- It also appears on the ICOMS Order Summary [OS] screen
Find Prorates after Work Orders are Completed
- Go to the ICOMS Work Order [WO] screen and click View 2
- Prorated amounts display on the lower right
- Prorated amounts display on the lower right
- In BOLT, go to the Work Orders Tab and find the corresponding work order
- Click the Bill Comparison button on the statement to see services changed month over month
Prorates on the First Bill after Install, Reconnect and Disconnect
Off-cycle billing can happen on the first bill after install, reconnect, or disconnect, generating prorated charges
- Charges remain in unbilled money and prevent late fees from charging when the regular bill generates
- The first month bill is generally forced off-cycle so the first bill arrives within 5 days after install
- This does not trigger if the customer's bill day is on the next cycle scheduled to run
- The from and to dates appear to be a full month bill, even though the transactions display as prorated charges
- Final bills at disconnect are forced off cycle at work order completion
- Prorated amounts are created through stop bill date, even though off-cycle bills show service dates for the full bill cycle
- Go to the General Ledger or Work Order for the Stop Bill Date
- Balances not paid by the time the regular cycle arrives generate another bill showing charges up to the Stop Bill Date
General Ledger and Customer Equipment
- When changing equipment service codes, each piece of affected equipment generates prorates
- Because we bill by subscription, not subscription per piece of equipment, the service charges on a single occurrence
- When adding services, prorates charge on one occurrence and generate zero-rated prorates on all other occurrences
- Zero-rated ledger detail does not print to the bill
Campaign Roll-Off in Former WOW!/AAB Areas
- Differences with bill proration in a customers final promo month in former WOW!/AAB service area may appear as follows
WOW!/AAB companies:
- Use prorate method Always - whenever a promo as added, the customer receives the exact duration of the promo
- WOW promotions came over to Astound exactly as-is during conversion, using prorate method Always
- For example, if the customer bills from the 15th to the 14th of the month and they add the promo on the 2nd
- When the promo expires it will end on the 2nd of the expiration month
- The customer sees the promotional rate from the 15th to the 2nd, then a prorate for the rest of the period at the non-promotional rate
- As customers repackage using the Astound standard promo sets, this campaign prorate method changes to Extend
All other Astound companies
- Use prorate method Extend - when this is used the promotion extends past its expiration date to the end of the bill period. This helps to avoid prorates and customer confusion
- In the same example as above, the system would extend the end date for the remaining days in the bill cycle
- The customer would see the promotional rate the entire bill period with no prorate
- Then they would see the non-promotional rate on the next bill