Is QBO working on a feature to calculate finance/late charges to past due invoices in Accounts Receivable?

Yes, @tina32.

QuickBooks Online has a feature called automatic late fees that you can use to apply fees on overdue invoices. All you have to do is enable this option from the settings. Let me walk you through how.

1. Go to Gear, Account and Settings, then Sales.
2. Click the Pencil icon in the Late fees section.
3. Mark the box next to Default charge applied to overdue invoices to On.
4. Select a Type and enable Apply Sales Tax if needed.
5. Tick Save and Done.

Please see this article for more information: Setting up and applying automatic late fees. You can also visit our page for more help articles of your future tasks. Here's the link: Income and expenses.

You can always swing by anytime if you have other questions. I'd be sure to reply as soon as I can. Happy weekend.

I did turn the feature on and I understand it will not calculate on existing invoice that may be pas our 30 day grace period.  My question is this:  Our invoices are integrated over to QBO through Verizon Work.. Does QBO have the capability to calculate finance charges and if so how is the finance charge account set up?

Thanks!

Hey there, tina32.

Thanks for following up on this thread with that additional info.

You can add a finance charge to invoices by creating a "Finance Charge" service item. Here's how:

1. Click the Gear icon in the top right corner.

2. Select Products and Services.

3. Choose the green New button in the top right corner.

4. Select the appropriate type, and enter the necessary info.

5. Enter the amount of the charge.

6. Click Save and close when you're finished.

I recommend the following article that covers how to enter late fees or finance and service charges on invoices.

Feel free to reach out if you have any other questions.