Line item details section

The Line item details section of the Line item details page contains the basic details for the line item.

The Line type allows you to select what type of line this will be paid on. There are four different line items to pick from:

• Material
• Service
• Limit
• Credit (this would be used when there is a deposit or an expected refund)

Material Type

When using Material ID numbers, companies use these 11-digit numbers to represent something which is purchased, sold or rented. These companies mandate the usage of these numbers because of their business processes. Other companies decide not to use the numbers and want to use free text.  This is so they don’t have to search for the 11-digit number to represent what was used.

If your organization uses a material master that has material attributes, the Long description field in the Line item details is disabled, regardless of the Long description field configuration in the Organization settings. You must click the Assign material attributes icon to add attributes that will populate the long description.

The Product category field holds the 8-digit UNSPSC (United Nations Standard Products and Services Code). These codes are universal and no longer the hierarchy. Your Materials Master will be brought in automatically for you if you use it.  If you do not use a Materials Master, then you need to go and find a UNSPSC or product category. If you cannot find the code, you can search using the advanced material search.

Service Type

When Service is selected from Type, you will notice only one difference from Material.  You will lose the Material Master ID within this tool. The Service type most likely acts differently in your ERP system, so you will receive that differently in your ERP system as well.

Limit Type

Limit lines are a special line type that do not have a quantity or unit of measure, but that you know you will be paying for. Limit line items allow you to specify a lower dollar value and an upper dollar value for the line item. The upper limit represents the most you would pay for that line item, and is the amount calculated into contract totals. This can be helpful for items such as freight, which may be spread over multiple invoices and do not have a quantity associated with it, but that you can specify an upper and a lower dollar amount for that the total cost needs to fall between. If it falls within those parameters, you will pay the invoice.

Credit Type

Sometimes you may need to reduce the scope of your contract and add a credit line to reduce the contract amount accordingly. For these instances, you would use the Credit line item type. Credit line items contain the same fields as material line items, but any pricing you enter will automatically be a negative (credit) value.

For example, when you enter 100 cubic yards at a unit price of $10, the system will display the unit price as ($10.00) and the total price as ($1,000.00).

Credit lines reduce the total overall value of your contract. This is different than back charges, which allow you to maintain your total contract value and just short pay the invoice. See Back Charges for more information about back charges in a contract.

Validity

Valid from and Valid through is the time frame when that line item is in effect. Think of Valid from as your delivery date or first date of service. You can leave the end date blank unless there is a date where claiming against this line item must no longer occur. 

After the date entered in the Valid through field has passed, the line item is automatically set to Closed. When the contract is already published and the line item closes, the Line Item ID field shows the Revised line item icon. If you do not want the line item status to be Closed, you can manually change the status and extend the Valid through date to a future date. Closed line items cannot be added to vendor change orders or payment forms.

Agreement item ID

If the contract is associated to a master agreement, you can use the Agreement item ID field to associate an unpublished line item to the master agreement. See Line items from master agreements for more information about associating an existing line item to a master agreement.