As a billing analyst, you can split a billing schedule into two or more billing schedules if the billing schedule is not invoiced yet. You can split the billing schedules by percentage, date, or amount. After the split, the fee amount is recomputed per the split terms, or given amounts, or percentages. This feature is helpful for splitting a billing schedule due to a change in the billing policy, customer request, change in the tax regime, or due to a direction from regulatory authorities. For example, there is a tax increment from Jan 1, 2024, and your customer wants to split all pending billing schedules that span across 2023–24 on  Dec 31, 2023.

  • This functionality is not supported for evergreen products or for asset line items accompanied by a billing plan. 
  • You cannot split a billing schedule with a negative fee amount.

Prerequisites

  1. The asset line item (ALI) is active.
  2. The price type for the ALI is either Recurring or One-Time (Usage price type is not supported).
  3. The billing schedule is of the Contracted type and in Pending Billing status (if the billing schedule is in Pending Invoiced status, you must cancel the draft invoice to revert the billing schedule's status to Pending Billing).

To split a billing schedule from UI

  1. From the Billing Schedule Detail page, click Split Billing Schedule.
    The Split Billing Schedule page is displayed. The Select Billing Schedule(s) tab is selected by default.
  2. Verify all the information on the Select Billing Schedule(s) tab and click Next to raise the Define Split Method tab.

  3. From the Split Method dropdown, select Split by Amount, Split by Percentage, or Split by Date.

    Split by Date is not supported for one-time products.

  4. Enter the number of splits you want in the Number of Splits text box.

    The engine creates n + 1 split line items for the number of splits you enter.

  5. Click Next.
    Define Split Date And Amount tab is selected.

  6. Verify the contents of Billing Split Information. Enter values in the Define Split Date And Amount section based on the split method you have chosen.

    The split's date range must lie between the billing schedule's Period Start Date and Period End Date and must be in sequence.

    1. For the "split by amount" method, enter the split date and split amount for all split line items. The total of the split amount must be less than or equal to the fee amount of the billing schedule you want to split. For example, to split a billing schedule with USD 1000 as a fee amount into "four" billing schedules, enter 3 as the Number of Splits. The engine will create n + 1 (3 + 1 = 4) billing schedules. You can split USD 1000 in two different ways:

      1. Less than the total fee amount, that is, USD 1000 = USD 250 (Split 1) + USD 200 (Split 2) + USD 300 (Split 3) = USD 750 then the 4th (n + 1) billing schedule will have USD 250 as the fee amount.
      2. Equal to the total fee amount, that is, USD 1000 = USD 300 (Split 1) + USD 200 (Split 2) + USD 500 (Split 3) = USD 1000 then the 4th (n + 1) billing schedule will have USD 0.00 as the fee amount.

    2. For the "split by percentage" method, enter the split date and split percentage for the split line items. The split percentage total must be less than or equal to 100.

    3. For the "split by date" method, enter the split date for all split line items. The amounts are auto-computed by the engine based on the term computed from the dates of the split scheduled.

      The split-by-date method only works for recurring products.


  7. Click Preview to show the split billing schedules in the Split Billing Schedule Preview section. If you are satisfied with the preview click Finish; otherwise click Go Back and make changes.

    When you click Finish, the engine splits the billing schedule and it cannot be reversed.



    Once you click Finish, the Billing Schedule Detail page re-opens, showing the split billing schedules.

When a billing schedule is split, the original billing schedule is superseded and new schedules are created. The new split billing schedules refer to the original billing schedule in the Replaced Billing Schedule field. You cannot split these billing schedules further.

To split a billing schedule by calling an API

To know how to split a billing schedule using an API, refer to Split a Billing Schedule.