Take Control of Late Payments with the Automatic Late Fees Add-on

Staying on top of invoicing is a challenge for many education businesses. When invoices go unpaid, it can lead to cash flow issues, wasted time, and uncomfortable follow-ups with clients. That’s where our new Automatic Late Fees Add-on comes in – a simple, but effective tool to help you encourage on-time payments and save valuable admin time.

What is the Automatic Late Fees Add-on?

The Automatic Late Fees Add-on allows you to automatically apply late charges to overdue invoices. The Add-on offers a number of customizable options, including the ability to apply a fixed amount or a percentage of the invoice’s subtotal. Once set up, the Add-on handles everything for you, saving time and improving cash flow with no manual follow-up.

Benefits of Using Automatic Late Fees

1. Get Paid Faster

When clients know there’s a late fee policy in place, they’re more likely to pay invoices on time. This improves your cash flow and reduces the need for follow-ups.

2. Save Time on Admin

No more manually checking due dates and adding charges to invoices. Once you’ve enabled and configured the Automatic Late Fees Add-on, late fees are applied automatically. This frees up valuable time and resources. 

3. Customize to Fit Your Policy

You have full control over how and when fees are applied. Choose between a fixed amount or percentage, decide how many days after the due date the fee kicks in, and even specify whether the fee should include sales tax.

4. Transparent Communication

Late fees are clearly displayed on invoices with your chosen title and description, helping to set clear expectations with clients.

5. Easy to Review and Adjust

You can view applied late fees directly on each invoice or in the Invoice Charges table (Billing > Charges). If needed, you can edit or remove them with just a few clicks.

How to Enable and Customize the Add-on

Step 1: Enable the Add-on

• Go to Account & Settings > Integrations & Add-ons
• Search for “Automatic Late Fees”
• Click Enable

Step 2: Configure Your Settings

• Click “Manage” to adjust:
• Title & Description: Label the fee so it’s clear on invoices.
• Late Fee Type: Choose a fixed amount or percentage of the invoice subtotal.
• Timing: Decide how many days (and hours) after the due date to apply the fee.
• Taxable Option: Include tax if applicable (requires “Sales Tax by Line Item” setting).

How Late Fees Appear

Once active, late fees are automatically added to invoices that become overdue. You can view these fees:

• On individual invoices under the Billing > Invoices section
• In the Invoice Charges table for a full overview

Want to make changes? Simply edit the invoice and adjust or remove the fee.

The Automatic Late Fees Add-on is a must-have tool for tutoring and education businesses looking to streamline billing and reinforce payment discipline. It’s just one more way Teachworks helps you teach more and manage less.

Ready to simplify your invoicing process? Log in to your Teachworks account to enable the Automatic Late Fees Add-on today. Learn more on our Knowledge Base.

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