Setup the Service Charge options on Company Configuration | Sales.
Select the Service Charge Account that will be impacted during posting.
Select the Service Charge Calculation.
If By Invoice, each invoice is looked at in isolation. If the invoice is overdue, the calculation will be applied individually to each invoice overdue.
If By Customer Balance, a fee will be assessed on the overall customer overdue balance at the date of calculating service charge
Select the Service Charge Reminder Frequency. This is optional. This is used to set the frequency at which you will be reminded in your reminder list to calculate service charges.
These are the needed setup for appropriate service charge calculation.
Setup the Service Charge options on Company Preferences | Sales.
Select the Service Charge Account that will be impacted during posting.
Select the Service Charge Calculation.
If By Invoice, each invoice is looked at in isolation. If the invoice is overdue, the calculation will be applied individually to each invoice overdue.
If By Customer Balance, a fee will be assessed on the overall customer overdue balance at the date of calculating service charge
Select the Service Charge Reminder Frequency. This is optional. This is used to set the frequency at which you will be reminded in your reminder list to calculate service charges.