Understanding Invoice Terms

Invoice Terms are an essential component of the Billing Profile. Invoice Terms specify invoicing instructions, such as when and what the agency bills; client billing preferences, such as how billable charges are displayed on the invoice; and how invoices should be split, grouped, or summarized.

Invoice Terms include:

  • Net days due
  • Approval conditions
  • Applicable discount and/or surcharge rates
  • Invoice Format (Invoice Statement Template)

Benefits of Using Invoice Terms

Using Invoice Terms has many benefits: 

  • Capture client billing preferences directly in the system.

  • Ensure invoices are accurate, consistent, and aligned with contract terms.

  • Control how invoices are displayed and delivered to clients.

  • Provide flexibility to split, group, or summarize invoices to meet client needs. See Invoice Terms: Split By, Group By, Summarize By to learn more.

Actions You Can Take on Invoice Terms

You must have the appropriate entitlements to add, delete, or edit Invoice Terms, Invoice Term Versions, and Invoice Term Templates. Contact Bullhorn Support to update your access.

The following actions can be taken on Invoice Terms:

  • Adding New Invoice Terms: Add new Invoice Terms to specify invoicing instructions.

  • Adding a New Invoice Term Version: Choosing to create a new version of the Invoice Terms allows another version of existing Invoice Terms to be created without changing the association to the Billing Profile, as well as maintaining a historical record of the old terms.

  • Deleting Invoice Term Versions: You can delete past Invoice Term Versions, but not the original Invoice Term. This helps to preserve data associated with Invoice Terms. You may need to delete a version if it was added by mistake.

  • Editing Invoice Terms: Invoice Terms can be edited, however you should only edit a them if you do not need to preserve historical data associated with the original details. Otherwise create a new version.

  • Creating Invoice Term Templates: Invoice Term Templates make it easier to add Invoice Terms to customer records and ensure they are formatted correctly. Instead of requiring Invoice Terms to be created from scratch for each customer, you can define a set of Invoice Terms at the Agency level and allow users to select from a list of options.

  • Editing Invoice Term Templates: Invoice Term Templates can be edited if needed.

  • Updating an Invoice Term with a New Invoice Term Template: When you create a new Invoice Term Template, you can update existing Invoice Terms with the new template.

Invoice Term Versions

If an Invoice Term needs to be updated, best practice is to create a new version instead of editing the original Invoice Term.

Choosing to create a new version of the Invoice Terms allows another version of existing Invoice Terms to be created without changing the association to the Billing Profile, and maintaining a historical record of the old terms. This concept is often referred to as using effective dating.

See Adding a New Invoice Term Version to learn more.

Invoice Term Templates

Invoice Term Templates make it easier to add Invoice Terms to customer records and ensure they are formatted correctly. Instead of requiring Invoice Terms to be created from scratch for each customer, you can define a set of Invoice Terms at the Agency level and allow users to select from a list of options.

See Invoice Term Templates to learn more.