Deferred revenue on Recurring service template

[BMcIntyre]

We sell most of our memberships on a monthly recurring payment, where when we sign someone up, the first payment will usually be ran the following month.

When entering them in Service Titan, the deferred revenue on the recurring service template will only be 5.5 months worth instead of six months because the software is only calculating 11 months of payments instead of 12. I've tried adjusting the start dates and first billing date to get it right, but no luck. 

Any ideas/suggestions? 

Thanks.

[Chayo80 · Accepted solution]

"Calculate automatically” means that ServiceTitan will adjust the value of the recurring service event based on the amount collected or planned to be collected over a one year time frame. That being said, you are technically only collecting 11 payment during the 1st year, the consecutive year you will have 12 months worth of payments. You will only have this on the first year since you are not collecting the 1st payment at the time of signing the customer up for the monthly membership.

If you don't wasn't this then select "I will calculate manually" and on your invoice template you can decided the amount of revenue you want to recognize on each visit. During the first year, at the end you may have a negative deferred revenue balance but this will get fix/balanced after the first year. 

Hope this helps 😎