Adding a Discount

How to Setup An Other Item for Discounts on Estimates

Because they don't have overhead markups, "other" items in the item catalog are really handy for setting up line items like discounts.  Here's a few tips on setting up an item that you can use to apply discounts to estimates:

  • Name the other item Discount
  • Use Each as the units
  • Set the Unit Cost to $0.00 (you will customize this on each estimate where you want to apply a discount)
  • Choose the Pricing Calculator option to Set Fixed Profit
  • Set the Fixed Profit Margin to 0%  (we don't want to add any profit to the discount)

Now you have an item that you can add to estimates for a discount.  Simply add this Discount item to an estimate, set the unit price to a negative amount to apply a discount (e.g. -$300.00) and the 0% profit margin will ensure the discount gets applied correctly.

NOTE:  You want to set the UNIT PRICE, not the UNIT COST on the estimate to the amount of the discount since your costs aren't decreasing.  A discount is only decreasing your price, not your costs.

 

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