Table of Contents:
Step 1- Calculate a daily rate
Step 2- Calculate the account credit
Step 3- Charge the tuition fee to the account
Step 5- Create an itemized bill
Step 1- Calculate a daily rate:
To calculate a daily rate for a monthly flat rate, divide the monthly flat rate by 4.333, the average number of weeks in a month. Then take that number and divide by 5, the number of days in the week. You have now calculated a daily rate from a monthly flat rate fee.
Ex: $1000 (monthly flat rate)/4.333 (average weeks in a month) = $230.79
$230.79 (weekly rate calculated above)/5 (days in a week) = $46.16
To calculate a daily rate for a weekly flat rate, divide the weekly flat rate by 5, the number of days in the week. The result is the daily rate from a weekly flat rate fee.
Ex: $250 (weekly flat rate)/5 (days in a week) =$50 per day
Step 2- Calculate the account credit:
Now with your daily rate, you will calculate the amount that will be credited to the family’s account. To calculate this, count the number of operating days within the week or month that the child did not attend and multiply that number by the daily rate.
Ex. The child will attend 3 days of his first week at the center.
2 (days not enrolled) x $50 (daily rate) = $100 to be credited to the account
Step 3- Charge the tuition fee to the account:
Charge the weekly or monthly tuition to the account by adding a transaction for the flat rate fee.
Step 4- Credit the account:
Step 5- Create an itemized bill:
Manually create an itemized bill to send an invoice to the family.
The process of prorating is only needed for the first billing cycle period. The billing automation will begin for the next billing cycle and charge the full flat rate fee.
Watch the video of this process below:
Please contact helpdesk@kangarootime.com with any questions.