Say you have 1 freight invoice for 1 container, but that container holds goods from 3 different vendor bills. Which bill gets the freight?
All of them. ConnectBooks can split the freight across every bill in the shipment, and then down to each item on those bills. You enter the cost 1 time.
Before you start
Turn on Landed Cost in File Settings, General first. Go to Stores & Files, then Inventory Files. Click your file, click Edit, then click General. Turn on Landed Cost, then click Save.
Example
Your container arrives. Freight is $2,667.56. Inside are goods from 3 bills: 1 from Target and 2 from Apex, 1,010 units in total.
You select the 3 bills, enter $2,667.56, and choose how to split it. ConnectBooks does the rest.
Steps
Go to Purchasing, then the Bills tab.
Select the checkbox on the left next to each bill in the shipment.
Click Action at the bottom of the page.
Click Allocate Landed Cost.
Enter your cost in Freight Cost, Other Cost or Tariff.
Choose how to split it in the dropdown next to the amount.
Look at the preview.
Click Apply to 3 Bills.
You see Landed cost applied. Click Done. The cost is now on all 3 bills.
Check the preview before you apply
The preview shows exactly what each bill gets. Its columns are Bill, Vendor, Bill Total, Current, Freight, Tariff, Other and New Total. The table below is shortened to show only the freight split.
Bill | Vendor | Bill Total | Freight |
555 | Target | $200.00 | $106.70 |
11 | Apex | $50.00 | $26.68 |
12 | Apex | $4,750.00 | $2,534.18 |
Total | $5,000.00 | $2,667.56 |
Bill 12 takes the largest share, because it holds the most value and you split by cost.
The total always matches what you entered. Rounding pennies go to the largest bill.
After you apply
The bills list shows that the landed cost is applied. Open any of the 3 bills to see the freight on the bill and on each line item.
Your product cost is now the real cost. Profit reports show what you truly paid, not just the vendor price.
Frequently asked questions
Do I need to turn anything on first?
Yes. Turn on Landed Cost in File Settings, General.
Does the split always add up to what I entered?
Yes. Rounding pennies go to the largest bill.
Can I split a tariff or other cost the same way?
Yes. Enter it in Tariff or Other Cost instead of Freight Cost.