Deferred Income Report Guide

The Income Cash shows the cash received for orders that are set for deferred income, listed by Subscription Plans.

Note: These values may differ to the orders as it does not take into account any orders/subscriptions that fall out of the deferred income parameters

• (e.g.) An order that has not been set up for deferred income or a weekly subscription

The default listing displays the deferred revenue from the current month for all active subscription plans

The Deferred Income calculations work with the following combinations of Deferred Income setting and Subscription Payment Duration/Duration Number settings on the Catalogue Item.

This means that you cannot have for example a Bimonthly subscription deferred if you take a 3 month payment plan.

However you could have a bimonthly subscription paid in one yearly payment so that the deferred income would be split over the year, at two month intervals.

Similarly, you cannot set a subscription paid per month whilst also deferring that amount monthly.

Examples

1. For a quarterly subscription deferred monthly (i.e. 1 x 3 Months payment plan), costing say £25, the full amount is deferred in Month 1, ⅔ in Month 2 and ⅓ in Month 3. The means from each month after the payment is received, ⅓ of the revenue iis released. The calculations are as follows:

1. For a yearly subscription, costing £80 and deferred each month, 1/12 of the income iis released each month less each month, leaving the remainder as the deferred income:

1. Where a payment is received x months prior to a subscription start date, the income is deferred until after the Subscription starts. For a quarterly subscription at £25, deferred monthly with a subscription start in Month 3, the first portion will be released in Month 4, the calculations are as follows:

1. Where a payment is received x months after a subscription has started, an appropriate proportion of the deferred income is released in the second month after the income is received. For an annual subscription at £80, deferred monthly with a subscription start in Month 1 but the payment is received in Month 3, three portions will be released in Month 4, the calculations are as follows:

1. Where partial payments are received on a quarterly basis for an annual subscription, the incoming cash is deferred as if it is a quarterly subscription with a 1/3 released each month. For an annual subscription at £80, paying in quarterly installments, the calculations are as follows:

Note: Deferred income is not calculated on a daily basis per subscription so a subscription paid on 1st of the month is treated the same as a subscription paid on the 31st of the month.

• (i.e.) An equal portion will be released in each month thereafter

The Earned Revenue tab displays the total revenue from orders for each subscription plan.

• (i.e.) the total amount released each month