In this example we assume you want a surcharge over the total order invoice amount, for example a charge of 3% when the order is paid by credit card.
Setting up the Credit Card surcharge product
1. Go to Home -> Add product.
2. Assign the following product fields:
- Set Product Code to CREDIT CARD SURCHARGE
- Set Description to Credit Card Surcharge (This is displayed on the customer receipt / invoice)
- Clear the fields for “Show on handling order if price is 0” and “Show on request/confirmation” (This will hide the product from the order screen unless it's actually applicable)
- Set the calculation priority field to 9
- Set the Price Calculator field to Order Surcharge Calculator
Note: There is a price calculator setting that can be used to include / exclude VAT from the calculation IncludeVat (bool; default=true)
4. Click 'OK' to create the product
5. Specify how many percent you want to add to the total value of the order. You can specify a different percentage for different criteria. To do this, create one or more price agreements. For example: You want to add a 3% surcharge if the form of payment is Credit Card, and 0% in all other cases. This requires two price agreements. The first price agreement is to assign 3% in case the order has the appropriate form of payment. The second is to assign 0% if the order has not.
To do this, select the “Price agreements” tab
- Click Add New to enter the first price agreement.
- For the “Form of Payment” select the form of payment for which the surcharge applies.
Note: If the surcharge applies to more than one form of payment (e.g. to all credit cards and not only to one in particular), select a “Form of payment group” instead. This assumes that you have already created a group “All Credit Cards” that holds these forms of payments. You can do that using Administration -> Administrations -> Form of Payment Groups. Add the new group, name it “All Credit Cards”, select it, and in the list below the group, add a line for each form of payment in the group.
- Enter the percentage for the surcharge (e.g. 3 to take 3% over the order total). Do not use the price box, as that field in the service will be filled by the calculator so it cannot be used in price agreements.
- Click Save to save the price agreement.
Add a second price agreement that only has a value of 0 in the Percentage box. This assigns 0% as the default value for the surcharge in case the order does not match the form of payment selected by the first price agreement. Do not use the price box, as that field in the service will be filled by the calculator so it cannot be used in price agreements.
6. Make sure that surcharge product is always added to each order automatically. To do this, go to Administration -> Products -> Auto-Add Products. For each type of order (or Workflow) to which the surcharge applies, add a line containing the CREDIT CARD SURCHARGE to the list.
7. Review the results by opening an order which uses the form of payment for which you set up the order total surcharge product.
FBO One does not support automatic calculation of surcharges on partial payments. The surcharge is always taken over the overall order total.
For example, suppose you have an order with a total charge of USD 1000 plus a credit card surcharge of 3%. You first take a payment of USD 500 in cash, followed by a credit card payment for the remaining amount.
The remaining amount to be paid with the credit card will be calculated as 1000 * 1.03 - 500. This is 530 USD. While this approach seems wrong (and it is), it is the way how FBO One is designed to work. If you do want to apply a lower surcharge, you need to manually override the price for the Surcharge service. You can do this by clicking on the surcharge service in the order page, give the Edit Service command, and then override the unit price from 30 USD to for example USD 15.
Ideally, the system would calculate the amount due based on the actual amount to be paid by the credit card, and not on the order total. In this example, the amount due for the credit card payment is USD 515.46. This is correct because 1000 + 3% of 515.46 equals 1015.46.
The obvious formula to calculate the amount due in this example is to take 1000 - 500 (paid in cash) = 500 * 1.03 = 515 USD. However, if you then take a payment for this amount due, the order would remain with an amount due of 45 cents. These 45 cents are introduced because the calculation for the amount due did not take into account the payable amount for the surcharge itself.
The correct amount due can only be calculated by a Goal Seeking algorithm, which is slow and hard, and not by a regular mathematical formula. For this reason, FBO One always applies payment surcharges on the full order total.
How to handle credit card surcharges in case of partial payments
FBO One will charge the credit card surcharge based on the grand total of the order, as outlined in the section above.
When taking a partial payment for an order, for example 500 USD in Cash and the rest by credit card, then you should manually calculate the applicable credit card surcharge amount. You can then enter it in the credit card surcharge service on the order, by clicking on the service on the order screen, and then choose 'Edit Service'. In this screen, you can tick 'override unit price' and alter the calculated price. Note that overriding prices requires that the current user is authorized for that command.
Order surcharge calculator
Configure service discounts
Glossary Price Agreement