Billing profiles allows an advisor to update billing settings specific to a household. The settings include billing start/end date, discounts, exclusion of specific accounts, and fee allocation settings.
This article provides an overview of the household's billing profile settings from Client Billing > Client Profiles → Click on a specific 'Client'.
- Fee Schedule: Select a fee schedule from the pull-down menu to update the fee schedule for the specific household.
- Billing Start Date: For the initial invoice, fees are prorated based on the first balance date received by the system for the given household. An advisor can override the system's default start date by setting the start date manually. For any subsequent invoices, the system sets the start date to the first date of the billing period by default.
- Billing End Date: The last invoice is prorated based on the account's close date set in the system. An advisor can override the system's default end date by setting the end data manually. For any subsequent invoices, the system sets the end date to the last date of the billing period by default.
- Ongoing Fee Discount: The advisor's fee discount (dollar amount or percentage) for the specific household.
- Is Billed: The option to include/exclude account(s) from the billing fee calculation. AUM (ie managed) account(s) are included by default. Held-away account(s)/custom asset(s) are excluded by default. Learn how to enable held-away/custom assets here.
- Allocation Setting/Fee Allocation:
- Pro Rata: Billing fees are allocated based on the account's balance.
- Manual: Billing fees can be manually allocated using the 'Fee Allocation' section by account. For example, a household may have 2 retirement accounts (Roth and Traditional IRA) and a taxable account. The Roth IRA and taxable account fees can be allocated completely to the taxable account by setting both to 'Manual' and setting the taxable account 'Fee Allocation' to 100% and the Roth IRA to 0%, while the Trad IRA is set to 'Pro Rata'.
- Direct: Billing fees are calculated but ignored in the custodian fee export file. Instead, the fees are shown in the generic csv fee export file, where it can be referenced for fee payment outside the system.