Subscription Management Preferences

The following options are available on the Subscription Management subtab:

• When Sales Order Gets Approved, Auto-Change Subscription Status to "Pending Activation"

  Check this box to automatically change the subscription lines in the subscription from Draft to Pending Activation when the related sales order is approved.

• First Activation Change Order Creation Sets the Subscription Start Date

  Check this box to set the subscription start date to the effective date of the first Activation change order. When you change the effective date of the first Activation change order, this preference no longer applies to that change order.

• Request Credit Memo for Off-Cycle Change Orders

  Check this box to automatically generate credit memos for negative charges from the billing operations off-cycle functionality.

• Align Charge Amounts with Subscription

  Check this box to align subscription charges with the subscription start date. When you check the Align Charge Amounts with Subscription preference, all lines within an activated subscription align charges with the subscription header start date instead of its bill dates. Multiple-year subscriptions with multiple charge frequencies, such as monthly, quarterly, and annually, recur based on the subscription start date for better alignment of charge periods. Existing subscriptions activated before setting this preference may display the original recurrence pattern. When you activate a subscription, the current preference setting dictates the subscription charge pattern.

• Months To Extend Estimated Revenue Recognition End Date

  For recurring subscriptions with an evergreen term, enter an integer from 1 to 120. Suggested values are:

  • If you bill subscriptions monthly, set this preference to 1 or greater.

  • If you bill subscriptions quarterly, set this preference to 3 or greater.

  • If you bill subscriptions annually, set this preference to 12 or greater.

  • If you enter a value for this preference, you also need to enter a value between 1 and 120 for the following preference:

• Months Prior To Estimated Revenue Recognition End Date To Initiate Auto-Extend

  For recurring subscriptions with an evergreen term, enter an integer from 1 to 120. This value pushes the estimated revenue recognition end date by this many months each time a subscription matches the auto extend.

• Create Delta Charges for Changes to Invoiced Service Periods

  If changes to invoiced service periods result in a change to what the customer owes while this preference is enabled, the system generates a Delta charge. The amount on a Delta charge is the difference (+ or - ) between the invoiced amount and the new amount for the service period.

  To see how to set this preference, view the video:

  For example, you create an invoice of $1000 on January 1 for an annual recurring service with monthly proration. On July 1, a Modify Pricing change order increases the quantity from 1 to 2. The following chart shows you how setting the Create Delta Charges for Changes to Invoiced Service Periods preference simplifies the billing for this change:

  Charge Period	Preference Off	Preference On
  1/1-12/31	$1000.00 -$1000.00	$1000.00
  1/1-6/30	$500.00
  6/30-12/31	$1000.00	$500.00

General Notices