While there are various reasons that a businesses would charge a transaction fee, most do so to offset the cost of the fees credit card processors take when clients pay for a service or item at your business. The transaction fee can be either a fixed amount or a percentage of the cost of the appointment.
With TimeTap, you can include your transaction fee under your Payments → Payment Settings view. You can also change the name if you call it something else at your business (like "Service Fee" or "Processing Fee" or something like that). This section of our documentation will go through how you can add that transaction fee and change its name.
A few things to note with transaction fees and how they are calculated on your invoice. Transaction fees are only added once so if you have an invoice where clients are submitting multiple payments, the transaction fee will not get applied to each payment.
The transaction fee gets applied after the sub total of all invoice line items and before the tax rate gets applied. Thus, if any of the line items that you have on your invoice are taxable, then the tax rate will get applied to the transaction fee as well and totaled up in the tax that is listed in the invoice summary. If none of the line items on your invoice are taxable, then the tax rate will not get applied to the transaction fee. Summarily, whether or not the transaction fee has the tax rate applied is based on whether or not any of the line items on your invoice have been listed as taxable.
Now, onto how you can actually enter in your transaction fee amount and/or change the name from Transaction Fee to something else:
Go to your Payments → Payment Settings menu and click the Edit button at the top of your General Payment Settings view:
The transaction fee field is right beneath the tax rate field and will be a fixed amount that you can set. If you haven't changed the name of the transaction fee yet then it will be labeled as "Transaction Fee". If you have already changed the name, then it will have whatever label you gave the transaction fee:
Enter in whatever amount or the percentage you want to charge as the transaction fee into the input fields listed there:
If you want to change the name of the transaction fee, click the link to "Change Name" beneath the label and type in what you want to call the transaction fee:
Once you've entered the transaction fee amount and (optionally) changed the name, click the "Save" button at the top of the General Payment Settings view:
Now, when you are looking at an invoice, you'll see the transaction fee show up as part of the invoice summary with whatever name you've given it next to it:
Have questions about applying a transaction fee or how it is calculated into the invoice total? Reach out to our support team and we'd be happy to answer any questions you may have.