Skip to main content

Credit Card Fee Feature

Jake MacDonald
  • Updated

This document describes the Credit Card Fee feature in Zr Ware®, which automatically applies an adjustable fee to credit card transactions.

Disclaimer: Users are responsible for understanding and complying with all local, state, and federal laws regarding credit card surcharges in their operating areas. This includes tax laws.  

Article Index

  1. Feature Overview
  2. Setup & Configuration
  3. How the Feature Works
  4. Common Questions (FAQ)

1. Feature Overview

The Credit Card Fee feature is designed to automatically apply an adjustable percentage-based fee to customer transactions paid by credit card. This helps businesses offset processing costs.

2. Setup & Configuration

Enabling and configuring the Credit Card Fee feature requires specific steps by both the base and a Zr Ware™ system administrator.

2.1. Feature Activation

  • The Credit Card Fee feature is a company-level setting.
  • To enable it, please submit a support ticket through Zr Ware™.

2.2. Defining the Fee Percentage

Once the feature is enabled by a system administrator:

  1. Navigate to Admin > Company.
  2. Define the desired Credit Card Fee percentage in the relevant field (Near the bottom).

2.3. Creating Credit Card Fee Line Items

A specific "Credit Card Fee" product/service line item must be created for each department.

  1. Go to Admin > Products and Services.
  2. Click "Add".
  3. Configure the new line item with the following settings:
    • Name Example: Convenience Fee - Residential, Credit Card Surcharge - Commercial (ensure clear naming for each department).
    • Product Code: Enter Accounting Adjustment.
    • "Credit Card Fee" Checkbox: After creating all necessary line items for every department, submit a support ticket requesting a Zr Ware™ system administrator to check this box for each item. This is critical for the feature to function correctly.
    • "Affects Upsell" Checkbox: Ensure this is unchecked.
    • "Affects Payroll" checkbox: Ensure this is unchecked if you use any payroll reporting and you don't want this included in that report.
    • "Affects Revenue" Flag: Leave this flag at its default setting. This fee will be treated as any other surcharge.
    • Category: Select an appropriate category.
    • Department: Assign the relevant department for this fee.
    • Other Options: Leave all other options at their default settings.

3. How the Feature Works

Once enabled and configured, the Credit Card Fee feature operates within the User Invoice Link and the Tech App.

3.1. Fee Calculation

The Credit Card Fee is calculated based on the following logic:

  • Maximum CC Fee: (All Non-Tip / Non-CC Fee Line Items - Total Payments) * CC Fee Percentage
  • Final Fee Applied: (Maximum CC Fee - Sum of any existing fees already linked with payments)

3.2. Payment Method Interactions

  • Credit Card Payment Selection (User Invoice Link / Tech App):
    • When a user selects a credit card as the payment method, a warning message for a "Convenience Fee" will be displayed to the customer.
      Markup 2023-10-26 at 11.25.31.png
    • The percentage applied for this fee is pulled directly from the setting defined in Admin > Company.
    • The designated Credit Card Fee line item (created in the Setup section) will be automatically applied to the invoice.
  • Non-Credit Card Payment Selection (ACH, Cash, Check):
    • If a user switches to a non-credit card payment method, any previously applied Credit Card Fee line items that are NOT ALREADY LINKED with a posted payment will be automatically removed from the invoice.
  • Entering Credit Card Payment Details:
    • When the user proceeds to the "Add Credit Card payment" screen, the relevant Credit Card Fee line item(s) on the invoice will automatically link to that specific payment ID. This action prevents any future automated processes from inadvertently removing the associated fee line item.
  • Successful Credit Card Payment Posting:
    • Note: At this time, there is no automated process to re-evaluate or adjust the Credit Card Fee amount if the credit card payment amount changes after its initial computation. The fee calculation is triggered by the initial payment method selection and the remaining amount due at that point. This design choice aims to prevent constant, confusing updates to the "Amount Due" for the customer.
    • Recommendation: To minimize the Credit Card Fee, we recommend that customers pay with non-credit card methods first to reduce the total amount due, and then apply a credit card payment for any remaining balance.

4. Common Questions (FAQ)

Q: How do I delete a Credit Card Fee line item from an invoice? A: To delete a Credit Card Fee line item from an invoice, click on the line item directly within the Invoice screen and select 'Remove'. * Note: If the invoice has already been synced to QuickBooks Online (QBO), QBO validation rules may prevent its deletion directly from Zr Ware®.

Q: How do I delete a payment that has a Credit Card Fee attached to it? A: To delete a payment: 1. Go to the Client's Profile > Client History. 2. Locate the payment and select 'Delete Payment'. * This action will nullify the payment ID reference. However, you will still need to manually delete the associated Credit Card Fee line item from the invoice if necessary.

Q: Will the Credit Card Fee line item be applied automatically if the Credit Card Fee feature is turned off? A: No, the Credit Card Fee line item will not be automatically applied if the Credit Card Fee feature is disabled at the company level.

Related articles

Comments

0 comments

Article is closed for comments.