Module 7 - Financial Set Up, Pt. 2 - Accounts and Categories

Video Summary 

• Financial Setup Part Two: Accounts and Categories

  • Account setup is completed under:

    • Financials → Settings

  • Accounts organize financial charges and invoices

• Basic Recommended Account Structure

  • Most schools start with two accounts minimum:

    • Tuition account (allows payment plans)

    • Fees account (no payment plans, just an Invoice due date)

      • also referred to as Incidentals or Misc.

  • Simpler account structures are easier for families to understand.

• Creating an Account

  • Each account includes:

    • Account name

    • Account Identifier (a short abbreviation like “TU” for tuition)

    • Payment plan settings

    • Auto-pay settings

    • Categories

• Payment Plans

  • Key setup option:

    • Decide whether the account allows payment plans.

  • Examples of payment plans:

    • Monthly payments

    • Quarterly payments

    • Semi-annual payments

    • Weekly or biweekly payments

    • One-time payment 

  • Tuition accounts typically allow payment plans and Fees accounts usually do not.

• Auto Pay Settings

  • Schools can require enrollment in Auto Pay for all payments in an account, for specific payment plans or selected Customers. 

    • If you want every payment in a specific Account to be paid via Auto Pay, that is set here

  • Common practice:

    • Require auto pay only for monthly payment plans.  This is set up one the Payment Plan, not the Account

  • Usually not required for one-time or fixed-date payments.

• Require Payment Plan Before Posting Charges

  • Option exists but is generally not recommended.

  • Can create confusion for families and administrators.

• Categories

  • Every account must contain at least one category.

  • Every charge is tied to a Category

  • Categories help organize specific charge types.

• Examples of Categories

  • Tuition

  • Application fee

  • Enrollment fee

  • Re-enrollment fee

  • Field trip fee

  • Textbook fee

  • Miscellaneous fees

• Managing Accounts

  • Accounts can be edited after creation.

  • Additional categories can be added later.

  • Accounts themselves cannot be deleted.

• Best Practice Recommendations

  • Keep account structure simple initially.

  • Use:

    • One tuition account for tuition-related billing

    • One fees/incidental account for everything else

  • Add complexity later only if needed.

• Next Setup Step

  • Payment plans

The Next Video - Financial Set Up, Pt. 3 - Payment Plans