To create a new cost centre element

The procedure to create a new cost centre element is as follows:

1. Navigate to Quick Menu > Service Charges > Configuration > Cost Elements. The Service Charge Cost Element window is displayed.
2. Click on New Cost Element. All fields are activated ready for data entry 1.
3. Enter a Description for the service charge cost centre element into the field provided 2.
4. Enter a Schedule label into the field provided i.e. the caption for the cost centre element, as presented to the end user within the service charge schedule.
5. Using the Companies drop-down field, multi-select all companies for which this cost centre element is relevant, or choose the All option, as required 1.
6. Using the Element type drop-down field, select the appropriate classification of the cost centre element i.e. Apportioned, Fixed Charge or Sinking Fund 3.
7. Where the service charge cost element transcends several rent elements, activate the Map to multiple rent elements tick box provided.
8. Using the Corresponding rent elements drop-down field, select the relevant rent charge elements, as appropriate, to which the service charge cost centre element should be mapped 4. Where a one-to-one mapping relationship has been specified, only a single rent charge element can be nominated.
9. Using the VAT Code drop-down field, select the VAT percentage rate that will be applied to the calculated cost element, once transferred to each corresponding rent account; the categorisation of rent charges that will be subject to the embedded VAT portion must also be specified using the adjacent VAT applicable charge types drop-down field 5.
10. Multi-select the required attributes for the cost centre element by activating the tick boxes provided. An explanation of each available attribute is summarised in the table below.
11. Choose an Effective from date for this service charge cost centre element i.e. the date on which it came into effect 6.
12. Choose an Effective to date if the service charge cost centre element is to be reviewed on a specific date or to capture a change of circumstances; a blank field means the cost centre element will be continually valid.
13. Click on Save 7.

Tip

1 Where only a small number of parameter values are not required, activate the All tick box first and then de-select individual items from the full list, as appropriate; the All tick box will be automatically removed once an item is de-selected.

Note

1 Upon first access, all fields are automatically activated ready for data entry; hence the New Cost Element button is inactive.

2 System validation rules ensure that the description entered for each service charge cost centre element is unique for the effective period.

3 An apportioned cost centre element has its value divided between the relevant assets, whereas a fixed charge element is assigned a set value and levied for all individual service subscribers. The sinking fund classification is reserved for those elements into which contribution payments will be posted and tracked.

4 Mapping cost elements in this way ensures that all relevant service charges will be captured within the rents module.

5 The Effective from date defaults to the current system date and cannot be left blank.

6 Once the results of a service charge calculation have been finalised and all required adjustments applied, the VAT will be subsumed into the levied charge and presented as a consolidated figure.

7 To amend the details of an existing parameter, select a service charge cost centre element from the alphabetical list or type its name into the Search Cost Elements field. By default the list is filtered to show Current cost elements. An alternative filter can be applied using the Select view drop-down field: Expired, Future or All combinations. Only a limited number of values can be updated once a record has been created.

See related topics...

Cost centre maintenance overview

To create a new cost centre

To define the elemental components of a cost centre