Module 7 - Financial Set Up, Pt. 3 - Payment Plans

Video Summary

• Financial Setup Part 3: Payment Plans

  • Payment plans are configured within accounts that allow payment plans (typically tuition accounts).

• How Charges Work

  • Schools enter the full charge amount upfront.

    • Example: $10,000 tuition for the full school year.

  • Payment plans divide the total amount into installments automatically.

• Creating a Payment Plan

  • Payment plans define:

    • Payment frequency

    • Due dates

    • Number of installments

    • Auto-pay requirements

    • Who can select the plan

• Example: Pay-in-Full Plan

  • One-time payment due:

    • August 1

  • Setup includes:

    • Due month

    • Due day

    • Plan name (e.g., “Pay in Full”)

  • Often configured so:

    • Only admins can assign the plan

    • Auto pay is not required

• Admin vs Family Selection

  • Schools can choose whether:

    • Only admins assign payment plans

    • Or families can select plans themselves

  • Recommended approach:

    • Admin assigns plans based on information collected elsewhere (such as re-enrollment forms)

  • Benefits of admin-only selection:

    • Prevents family confusion

    • Ensures correct setup

    • Avoids families forgetting to enroll

• Monthly Payment Plan Example

  • Example:

    • 10 monthly payments

    • August through May

    • Due on the 1st of each month

  • System automatically divides the total tuition amount across payments.

• Multiple Payments Per Month

  • Optional setup:

    • Families can make more than one payment per month.

  • Example:

    • Payments on the 1st and 15th

    • 20 total payments instead of 10

  • Controlled with minimum and maximum payment counts.

• Due Dates and Reminders

  • Payment reminders are automated:

    • Reminder 20 days and 7 days before due date

    • Notification when payment becomes late ( 1 day and every 7 days after that)

  • Recommendation:

    • Use firm due dates rather than building in grace periods.

  • Grace periods can instead be handled manually if needed.

• Auto Pay Requirements

  • Schools can require auto pay for specific plans.

  • Common practice:

    • Require auto pay for monthly payment plans.

    • Do not require it for pay-in-full plans.

• Visibility of Payment Plans

  • Plans marked admin-only are hidden from families.

  • Hidden plans are indicated by an eye icon with a slash.

• Flexibility

  • Schools can create:

    • Multiple payment plans

    • Different schedules and variations

  • Admin-only assignment helps keep numerous plan options organized.

• Financial Setup Completion

  • Once complete, the school has:

    • Online payments connected

    • Customers enrolled

    • Accounts and categories configured

    • Payment plans established

  • The system is then ready for:

    • Posting charges

    • Using financial forms

    • Managing tuition and payments

  • This set up needs to be completed annually before posting charges for each new school year

The Next Video - Customer Accounts