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Late Payment Interest, Collection Reminders and Sales Representative Commission

A late-paid invoice creates three jobs: working out the cost of the delay and passing it on to the customer, reminding the customer of invoices that are coming due or overdue in the right order, and correctly calculating the commission earned by the sales representative who made the sale. These three windows work from the same open-invoice data and never ask you to type an amount: the calculation is done on the server, and you only approve what you see.

1. What the three windows are for

• Late Payment Interest (Vade Farkı): you choose a period and the program works out, for every account, the days of delay and the late payment interest on its late-paid and still open invoices. The calculation writes nothing; you open period records for the accounts you accept and then issue a debit note.
• Collection Reminders (Tahsilat Hatırlatma): a reminder sequence that moves step by step around the due date (T−3, T, T+7, T+15, T+30). Every morning it lists who gets a reminder today and through which channel; you send them with one click. When an invoice is collected, the sequence stops for that invoice by itself.
• Sales Representative Commission (Plasiyer Komisyonu): the earned commission per sales representative for a period. A rule can be invoice-based or collection-based; under a collection-based rule the commission is earned as the invoice is collected. An overdue deduction and a sales-target tier are applied; the period goes for approval, is approved and marked as paid.

2. How late payment interest is calculated

In the Late Payment Interest window, on the Period calculation tab, choose the start and end dates and press Calculate (does not save). The table shows, for each account, the number of invoices, the overdue amount, the average delay, the late payment interest, the VAT and the total; opening a row shows the pieces invoice by invoice (due date, payment date, amount, days in period, difference).

Piecewise FIFO — every payment with its own date

• The account's entries are read in date order. Each payment closes from the oldest open invoice piece onwards; a partial payment closes only the paid part of the invoice with its own date, the rest stays open and its delay keeps running.
• The invoice's due date is the payment date written on the invoice (otherwise the invoice date). For a cheque payment the payment date is the cheque's due date (the rule option "For cheque payments, the payment date is the cheque's due date", on by default).
• A return carries no interest: a piece closed by a sales return produces no late payment interest (the goods came back). A payment made before the invoice (an advance) closes the next invoice at once; with payment in advance the delay is zero.
• Accounts that work in foreign currency are not calculated in this version; the screen shows the warning "Accounts that work in foreign currency were not calculated in this version."

Formula and examples

In the compound method g0 is the delay accumulated before the period and g1 the delay at the end of the period, so the next period adds only its own share. Piecewise FIFO example: a 10,000 invoice is due on 1 August; 4,000 was paid on 15 August (14 days) and 6,000 on 10 September (40 days). At a simple 3%: 4,000 × 3% × 14/30 = 56 and 6,000 × 3% × 40/30 = 240; 296 in total.

Exempt days, minimum amount, rounding, period accrual

• Exempt days are deducted from the delay (a tolerance window): with 5 exempt days, a piece paid 12 days late is charged for 7 days.
• Minimum amount: if the account's interest for the period (the base) is below the rule's minimum amount, the row becomes Exempt ("Below the minimum amount") and no debit note is issued.
• Rounding: each invoice piece's interest is rounded to 2 decimals and the account's total to the rule's step (0.01 · 0.1 · 1 · 5 · 10), half up. VAT is calculated on the rounded base.
• Period accrual never double-counts across consecutive periods: a period counts only the days of delay that fall inside it. A piece due on 20 August and paid on 10 September (21 days): the August period counts 11 days, the September period 10 days; 21 in total.

3. The late payment interest rule: scope and handling

On the Rules tab, New rule takes the monthly rate, the method, the exempt days, the minimum amount, the rounding, the VAT rate and the cheque due-date option. Without an active rule the calculation says "No active late payment interest rule." and calculates no account.

4. Period record and debit note

1. Open the period record. Select accounts in the calculation table and press Open period records for … selected accounts or Open period records for all accounts. If the account already has an uncancelled record whose days overlap this period, nothing is written and a warning appears; Save, skipping accounts with an overlapping period saves the rest. The same days are never charged twice.
2. Issue the document. On the Records and debit notes tab, open the record and choose the date. In Türkiye the button is Issue late payment interest invoice: the program issues a sales invoice (line: the late payment interest service card, one line per VAT rate); the invoice enters the VAT return, the e-document flow and accounting like any invoice, and the record becomes "Invoice issued". In Indonesia the button is Issue debit note: a number is taken from the DK series and a debit note is posted to the account. If a step stops halfway, pressing again resumes; the same document is never written twice.

Accounting entry

• Türkiye: late payment interest is part of the VAT base (Turkish VAT Law art. 24/c); the rate is that of the main supply. The program uses the VAT rates on each late invoice's lines (if 10% and 20% are mixed, the interest is split into two lines); the rule's rate is only a fallback for invoices without lines. The invoice line is the Late payment interest invoice line (stock code) field on the Rules tab; if empty, a VADEFARKI service card is opened at the first issue and mapped to 642 Interest income in accounting.
• Indonesia: a late payment penalty (denda) is usually outside PPN (default rate 0) and the buyer may have to withhold PPh 23. If the charge is treated as part of the supply, the company may enter 11% (DPP nilai lain); decide this with your tax advisor.

5. Exempting and cancelling

• Exempt: you exempt a record that has no debit note yet, with a reason of at least 5 characters (for example a good customer, a first delay). The record stays in the list as "Exempt"; the trail is not deleted.
• Cancel: reverses the issued document — in Türkiye the late payment interest invoice (with invoice delete permission), in Indonesia the debit note entry on the account is deleted; the number of a half-finished debit note is also voided, the debit note number is voided and never reused, and the record becomes "Cancel". A new period record can then be opened for the same account and period.

6. The collection reminder sequence

A sequence is made of steps counted from the due date: −3 is three days before the due date, 0 the due date, +15 fifteen days after it. On first use the default sequence below is created; every account without an assignment follows it. On the Sequences and accounts tab you can write a new sequence (at most 12 steps), edit the steps and assign another sequence to an account (Assign to account).

If the Owner is "Sales representative", the message goes to the sales representative who issued the invoice (otherwise to the owner in the account assignment, otherwise to the sequence's finance owner). "Finance" steps go to the sequence's Finance owner (user). If a candidate name is not a user in the system (e.g. old sales rep names such as "mete" or "ahmet/arif"), the next candidate is used, and if there is none it falls to the administrators; a message is never written to a name nobody sees. A step marked Escalation also goes to the Escalation user (if empty, to the finance owner, otherwise to the administrators). Balances below the sequence's Minimum remaining amount (default 1.00) are not reminded.

7. Channels

The strip at the top of the window shows whether each channel is ready. For a channel that is not ready the step records no fake success: the trail row becomes "Skipped" and the reason is written.

The message text is produced on the server in the language of the company's country (Turkish, Indonesian or English); the customer name, invoice number and amounts are written as they are.

8. Today's list and the sending rules

The Today tab lists the reminders to send today with the account, stage, channel, owner, delay ("… days past due" / "… days left") and the remaining amount. Select rows and press Send selected or Send today's entire list; the result reads "… sent, … awaiting printing, … skipped, … failed."

• Same day, same account, same channel = one send. If several invoices of one account fall on the same channel on the same day, they are merged into one message.
• 3-day catch-up window. If nobody sends on a given day, the missed step stays on the list for 3 days; older ones are not listed. The same invoice, step and channel is never sent twice.
• It stops when the money arrives. The reminder amount is not taken from the invoice's "remaining" field but from the account's net debt (matched in date order): collections received without an invoice link, credit notes and sales returns also reduce the debt, so no warning is sent for a fully paid invoice. At the moment of sending this debt is recalculated; a closed invoice is skipped and its pending steps become "Stopped".
• Not sent to an account in net credit. No reminder is sent to an account that is owed money by the company overall (whose balance is in its favour).
• Pause / resume. You pause an account's sequence with a reason (e.g. promised to pay) and an optional end date; when the date arrives the sequence resumes by itself. It can also be reopened by hand with Resume sequence.
• A sales representative sees only their own rows. A user without administrator or accounting rights sees only the rows they are responsible for in Today's list; others can use the same filter with the Only those I am responsible for box.

The History tab shows the trail row of every send (date, account, invoice, step, channel, recipient, status, reason).

9. The morning task

In the morning the task scans the server's main company; for other companies the same pass is done with the user's own session when an authorised user of that company opens Collection Reminders or Pulse and it has not yet run that day. An administrator can also run the task by hand.

10. Sequence status on the account card

Above the Account card › Reminders tab there is a sequence status box: which sequence is running (and whether it is the default), the open and overdue amounts, the next step ("Next step …: stage (channels), invoice …"), and, if paused, the reason and the date on which it resumes by itself. Pause sequence / Resume sequence can be done from here; Open collection reminders opens the window on that account's history.

11. How sales representative commission is calculated

The sales representative is the one who issued the invoice (if not written on the invoice, the user who entered it) — the same definition as the sales reports and the CRM sales target. On the Rules tab each rule carries:

• Scope: sales representative (blank: everyone) × account group (blank: all) × product group (blank: all). The most specific rule applies to each sales line: the rule matching the most dimensions wins, then the priority. For lines matching no rule the warning "Some sales lines did not match any commission rule." appears.
• Base: the line's VAT-exclusive amount (price × rate × quantity after discount). Invoice-based: lines of sales invoices issued in the period; sales return lines are deducted as a negative base. Collection-based: commission is earned only as the invoice is collected — the line amount in proportion of the payment part closed within the period to the invoice amount. For a payment received in advance (before the invoice), the commission is earned in the invoice period. Returns and credit notes are not collections and earn no commission. A second period record overlapping in days for the same sales rep cannot be opened; an administrator cannot decide on their own commission (four eyes).
• Overdue deduction: under a collection-based rule, if the piece's delay (closing − due date) exceeds the Overdue threshold (days), the Deduction when overdue (%) is taken off the earned commission. There is no deduction under an invoice-based rule (there is no payment yet).
• Target tier: the CRM sales target total for the months of the period is compared with actual sales; the multiplier of the highest tier reached is applied. Tiers are written as "target%:multiplier", e.g. 100:1.2, 120:1.5. With no target the multiplier is 1 ("No target").

12. Period record, approval and payment

1. On the Period calculation tab, Calculate (does not save) shows the base, earned commission, deduction, target achievement, multiplier and net per sales representative; opening a row shows the line-by-line detail. Open period record writes the record as "Calculated".
2. On the Periods and approval tab, Submit for Approval opens an approval request; the request also appears on the Management › Approvals screen and in the Pulse "Queued" section. The record becomes "Awaiting approval".
3. The administrator opens the record and presses Confirm or Reject with a decision note. A decision given on the Approvals screen is reflected here too.
4. When an approved period is paid, use Mark as paid (optionally with a Payroll reference). This version does not write to the HR payroll automatically; the payroll side can read approved, unpaid earned commissions. Only a record in "Calculated" or "Rejected" status can be removed with Delete.

13. Permissions

Every write operation is recorded in the audit log (who, when, what).

14. On the phone

• On screens smaller than 7 inches (the Garden + Steps interface) Collection Reminders opens with two views: My reminders today for the sales representative (a card list, send with one tap) and Sequence approval for finance (send today's whole list at once).
• Sales Representative Commission opens on the phone with My earned commission (this month's earned commission; a live calculation if not saved yet) and, for managers, the Period approval view.
• Late Payment Interest is a three-step wizard on the phone: 1. Period (dates and Calculate) → 2. Accounts (account cards, total, period records for all accounts) → 3. Debit note (records awaiting a debit note, issue debit note).
• In the Pulse interface the Queued section shows the row "… collection reminders will be sent today." (with a red stripe if a customer is at the final warning stage); tapping it opens Collection Reminders on the Today tab. The Owner Dashboard attention line shows "… customers have reached the final warning stage." (see the Mobile guide).

15. Frequently asked questions

Related guides: Finance · Account Card · Accounting · Cockpit · Mobile.