Setting Up a Surcharge Material

If you are going to use surcharges in the Material Sales module, you must set up at least one material in HQ Materials to represent surcharges.

Follow the steps below to set up a surcharge material.

  1. Open the HQ Materials form.
  2. In the Material field, enter a material code to represent the surcharge.
    Note: The system has no way to distinguish between regular materials and surcharge materials. We recommend that you use a number range or naming scheme that allows you to easily identify this as a surcharge material. This will be particularly useful when using F4 lookups to select surcharge materials.
  3. Complete the Description and Category fields.
  4. In the Material Type field, select S-Standard from the drop-down menu.
  5. Check the Active - valid for material posting box.
    Note: The system validates surcharge materials the same as any other material; you must check this box to enable surcharges based on this material.
  6. The Taxable for purchases or sales field defaults as unchecked. However, the system ignores this flag for surcharges, so it is not necessary to change the default. Taxing of surcharges will be handled at the surcharge code level (in MS Surcharge Codes).
  7. Check the Stocked in Inventory box.
    Note: Surcharge materials must be set up for applicable locations in IN Location Materials; checking this box enables setting up the material in IN Location Materials .)
  8. In the Standard UM field, enter any valid unit of measure.
    Note: When assessing surcharges, the system will determine the UM to use based on the surcharge code basis (defined in MS Surcharge Codes). If you are using a basis of 2-Material Units, the system uses the UM specified for the material on the parent ticket when assessing surcharges. During batch validation, the system will validate this UM against the UMs defined for the surcharge material, and if the UM is not set up for the surcharge material, an error is generated. Therefore, if you will be assigning this surcharge material to any surcharge code using a basis of 2-Material Units, you will need to set up all possible UMs for this material on the Additional Units of Measure tab.

    All other basis options use the surcharge material UM when assessing surcharges, so additional UMs setup is not required.

  9. In both the Standard Unit Cost and Standard Unit Price fields, enter 0.00. You will assign surcharge values in MS Surcharge Codes, and overrides (if applicable) by quote in MS Quotes.
  10. In the Purchase UM and Sales UM fields, set the unit of measure equal to the Standard UM. Entry in the Metric UM field is not required, so you may leave this field blank.
  11. In the Payment Discount section, leave the Discount Type and Rate/Amount fields as defaulted. The system ignores discount information in this form and bases discounts on the surcharge code and the parent ticket in MS Ticket Entry (the ticket to which the surcharge will be applied).
  12. In the Matl Phase and Matl CT fields, enter the phase and/or cost type to which the surcharge will be posted. This phase and/or cost will only be used if the Phase and Cost Type Based On drop-down field in MS Surcharge Codes is set to 2-Material for the surcharge code used to track this material.
    If there is no standard phase and/or cost type for this surcharge, leave these fields blank. The system will post this surcharges to the same material phase and/or cost type specified for the parent ticket (i.e. the original ticket for which the surcharge was assessed).
  13. In the Haul Phase and Haul CT fields, enter the phase and/or cost type to which the surcharge will be posted. This phase and/or cost will only be used if the Phase and Cost Type Based On drop-down field in MS Surcharge Codes is set to 1-Haul for the surcharge code used to track this material.
    If there is no standard phase and/or cost type for this surcharge, leave these fields blank. The system will post this surcharges to the same haul phase and/or cost type specified for the parent ticket (i.e. the original ticket for which the surcharge was assessed).
  14. The Haul Code and Price Service ID fields, along with the Additional Unit of Measure and Escalation Price Index tabs, have no application for surcharges, so you may leave this information blank.
  15. Click Save (in toolbar or Records menu).
  16. Initialize the surcharge material to applicable Inventory locations (IN Location Materials).
  17. Repeat the process for any other surcharge materials you need to set up.

    HQ Materials

    IN Location Materials

    MS Surcharge Codes