Learn how to configure Smokeball to apply partial payments on disbursements in full, before they are applied to time and fees.
This feature is in beta
Allocating Partial Payments to disbursements first is a feature that is currently undergoing closed beta testing.
By default, Smokeball applies partial payments evenly across time, fees and disbursements. You may wish to change this to apply to disbursements first, for the following reasons:
- To prioritise expense reimbursement, so your firm is not paying out-of-pocket for an expense incurred on behalf of the client.
- To avoid misrepresenting income by preventing payments from being applied to billable hours prematurely.
- To prevent overcompensation and inflated bonus calculations that can occur when payments are applied to fees instead of disbursements.
Setting your firm's Partial Payment Allocation option
- Open the Smokeball Web App.
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Select the Settings (gear) icon on the bottom-left corner of the screen, then select Firm Settings.
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Select Accounts from the left menu, then select the Payment Allocations tab.
- Choose the Partial Payment Allocation relevant to your firm:
- Pay all line items proportionally - partial payments are applied evenly across time, fees and disbursements. For example, an invoice with $100 fees and $100 disbursements has a $100 payment applied to it. Â This will apply $50 to fees and $50 to disbursements.
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Pay disbursements in full before time/fees - For example, an invoice with $100 fees and $100 disbursements has a $100 payment applied to it. Â This will apply $0 to fees and $100 to disbursements.
- The order in which partial payments are allocated under this option are as follows:
- Disbursement - Hard Cost with GST
- Disbursement - Hard Cost without GST
- Disbursement - Soft Cost with GST
- Disbursement - Soft Cost without GST
- Proportional timekeepers with proportional GST
- Surcharge with GST
- Interest
- The order in which partial payments are allocated under this option are as follows:
- Select Save.
Where to view Partial Payment Allocations
Partial Payment Allocations are currently only reflected in the Income Allocation - Summary and Income Allocation - Details Reports.Â
Important Note for Xero/MYOB users
Due to the way the Smokeball integration works with Xero and MYOB, payments against invoices must stay proportional. Xero and MYOB's API does not allow payments against invoices to target specific parts of the invoice.Â
Therefore if you have connected Xero or MYOB to Smokeball, we recommend you stick to the Pay all line items proportionally setting so that allocation figures in the Income Allocation Reports remain consistent.
Frequently Asked Questions
If I switch between options, will all past payments be impacted?
No, invoices are set with the option saved as of invoice finalisation. If you wish to switch the allocation of a payment on an invoice, you must reverse any partial payments, edit, then re-finalise the invoice and re-apply the payment.
Will Xero and MYOB match the income allocation reports if I choose to have disbursements paid first?
No, the Xero and MYOB API do not allow targeting of specific parts of the invoice.
How are fees distributed amongst timekeepers?
Fees will still be applied proportionately amongst timekeepers in the Income Allocation reports.
Will any custom reports be updated to reflect this change?
No existing custom reports will be updated, but any new ones built will use this feature.