Further to the standard invoice methods the system offers, there may be a requirement to process an Enrolment “Student Net”
This is where the student pays the net amount to the school and the commission amount to the agent.
This is a rare use case, but the following article explains how to process this type of transaction in Schoolworks.
Instructions
Enrolment should be related to the Agent as usual.
StudentGross invoice method should be used.
Add all bookings as usual, but apply Discounts to each Booking which equal the amount of commission
This can be done in the Enrolment Booking Finance Details panel. Please see this article for more information on this panel: https://cloud-base.atlassian.net/wiki/spaces/SWH/pages/2248704253/Enrolment+Booking+Finance+Details
It would be easiest here to add the Discount as a percent value rather than an amount (equal to the relevant commission percent), then if any changes are subsequently made to the bookings, the discount amount will adjust accordingly.
When then creating a proforma for the student, the Gross amount together with the Discount amount will display. The amount owing by the student will be the net amount.
The system will generate a Commission Credit Note for the commission owed (as this is StudentGross) on the Agent Account - however, this is of course not payable to the Agent.
Go to the Agent Account > Finance Details, view the commission credit note and Reverse Credit Note. This will create a reversal invoice for the Credit, clearing the balance so nothing is showing as owed to the Agent.
Please note - the Reverse Credit Note (and Reverse Invoice) buttons should ONLY be used with specific use cases. Typically the Enrolment should manage all reversals, but this Student Net invoice process is exceptional and warrants the use of this button. This button should not be used in any other circumstances unless directed - permissions for this button are locked off for all users by default.
Please contact your System Administrator if you require permissions to Reverse Credit Notes.
If the Enrolment has subsequent changes after this reversal has been actioned, the Enrolment will create a new Commission Credit Note which will also need to be reversed.
It’s important to ensure the balance on the Agent Account is correct and does not show that the agent is “owed” any funds for this Enrolment.
Agent Account Configuration
If the Agent typically operates on a Student Net basis, it is possible to configure the Agent Account to discount the related Enrolments automatically:
If using Commission Percent on the Agent Account, change this to 0 and instead add the commision percent figure to the Discount Percent field
If using Account Finance Settings records, change these to “Discount” rather than “Commission”.
In both these cases, any related Enrolments will be discounted accordingly and no commission credit note will be generated and so therefore will not need to be reversed.
StudentGross invoice method should still be used.
Reporting
In all cases, always consider the reporting of the commission amount
In general, The reports will not show the amount as commission earned by the Agent but instead as a discount offered to the Student.
Income reports will still reflect the net amount This may impact on sales and management reports when making decisions around this
Custom reports may need to be built to be able to report on the amount of commission the agent is earning.
ADD NOTE ABOUT DEFAULTING AGENT DISCOUNT TO COMMISSION SO FIRST PART IS AUTOMATED, OR ZEROING OUT COMMISSION AFS SO NO NEED TO REVERSE CREDIT NOTES - DEPENDS ON FREQUENCY OF USE WITHIN SINGLE AGENT (IF ALL ENROLMENTS THROUGH THE AGENT ARE PROCESSED LIKE THIS), OR NUMBER OF AGENTS THAT USE THIS. IMPACT ON REPORTING FOR THESE OPTIONS.
ADD NOTE ON REPORTING THIS AGENT COMMISSION>