Inputting Freight/Duty Costs on Received Items

In this article, you'll learn how to enable the entry of freight and duty costs to be entered during receiving items so you can manage total "landed costs".  See the below sections for Receiving with PO, Receiving without PO, entering total values on a Purchase Order and the system automatically breaking the values down per line item when receiving, and finally how to edit a past receiving event to enter/change per item freight and duty costs.  

You also now have the ability to automatically set the sales price of manually created customer orders to match the average landed cost of the item.  For details on how to set this up, take a look at this Knowledge Base article.

Enabling Inbound Freight and Inbound Duty Fields for Use

1. Navigate to Admin>System>Lexicon.
2. Click on the "Receiving" concept dropdown menu.
3. Click on "Inbound Freight" and toggle on the "Use Field" slider, then hit save.
4. Repeat step #3 for the "Inbound Duty" field.  

Entering Freight/Duty Values During Receiving

1. Freight and Duty values are entered as per item values.  For example, lets say you have 100 items you are receiving and your total freight charge is $200 and total duty charge is $100.  You'll enter those as $0.50 per item for freight and $1.00 per item for duty.  
2. Receiving with PO 
   1. When entering you delivered item counts, you'll now see fields for Inbound Freight and Inbound Duty.  Enter your per item values there.
3. Receiving without PO
   1. When entering you delivered item counts, you'll now see fields for Inbound Freight and Inbound Duty.  Enter your per item values there.

Enter Total Freight/Duty Charges on a PO

If you enter in total freight and/or duty charges on the Purchase Order, then the system will automatically calculate the per unit received freight or duty cost based on your PO Freight and Duty Distribution setting on the Admin>System>Basic Settings page.

• PO Freight and Duties Distribution Setting: Allows the user to decide how the total Freight and Duty values are split on a PO during receiving the PO.

  • Option #1 - Unit Based (split by quantity) - divides the total freight or duty charge by the overall quantity of items on the PO to get the per unit received value

  • Option #2 - Value Based (split by cost) - proportional to line value (qty × unit cost); per-unit received amount = (PO total ÷ total order value) × line unit cost

1. When creating a new PO, or editing an existing one, you'll see fields for "Total Freight" and "Total Duties".  These fields exist on the "1 - Create Header" page of a PO.
2. Enter your respective values in those fields and finalize your PO to save them.    

Change or Enter Freight and Duty Costs on a Completed Receipt

1. Navigate to Receiving>Search.
2. Find the Receipt you are looking for using the different search fields. 
3. Click the options icon to the left of the receipt you wish to edit.
4. Choose the "Select Receipt" option.
5. Click the pencil icon of the line item you wish to edit the freight/duty cost values.
6. Enter your desired values and hit the save button.