Revenue (Debit) Departments are responsible to document your revenue generating services at your hotel to be able to charge your guests for them, a simple example for revenue departments is your room charges. Adding Revenue Departments helps you and your staff to add charges to your guests’ bills using them. How to add a new revenue center? Front Office → Settings Gear Sign → Income → Departments & Payment → Departments → Add NewDocumentation Index
Fetch the complete documentation index at: https://help.kwentra.com/llms.txt
Use this file to discover all available pages before exploring further.
All the mandatory information are written in Bold:
- Code: a serial number for the revenue department, make sure to follow the serialization of your revenue centers in order to have everything organized correctly.
- Description: the name or the explanation for the new revenue generating service that will appear on the guests’ billing screen and their printed out invoices. i.e. Package charges, breakfast charge.
- Statistic type:
- Receivable account: only use this option when the revenue department will be used in your AR accounts sub-module from back office.
- Account: linking your revenue department to a revenue account from your chart of accounts is very important, debit departments are to be linked to revenue accounts only.
- Group: select the revenue account group that the account you selected belongs to in the chart of accounts.
- Type: department type should be always debit for your revenue centers.
- Allow Manual: use this checkbox when you would like to use this revenue department to apply it as a manual charge on a reservation.
- Active: since you cannot delete departments, you can activate or deactivate revenue departments when you desire.
Update: 29th of March, 2022
With the new sub-departments feature you can link sub-revenue departments to the main one in order to divide the revenue recorded on more than one code.
Example: you offer transportation to your guests in which the transportation provider gets 30% from the generated revenue.
In the above scenario if the transportation costs 100 USD then the billing entry will be divided 30 USD going to the sub department code and 70 USD going to the main department code.
Important Notes:
- You cannot apply this feature to departments that are linked to rate plans I.E. Room Charges or Room Revenue.
- You cannot apply this feature to departments that are linked to packages “included packages or add-on packages”.
- You can only apply this feature to departments that will be used as manual charges or fixed charges.
- Select the Revenue Department you would like to apply the sub-departments to.
- Insert the department code you want in the sub-department field.
- Write the revenue percentage you want to apply for this sub department.
- Click Save so as not to lose the changes you made.
What if the main sub department has taxes applied to it?
When you apply a sub-department setting on a revenue department, the division of the revenue percentage applies first prior to the tax application.
Example: Transportation charges 100 USD, transportation provider sub-department revenue is 30%, 10% tax is applied on Transportation charges.
100 USD - 30 USD = 70 USD
70 USD * 10% = 7 USD
Therefore the transportation charges after taxes is 77 USD.
The above example applies the same if the sub department has a tax definition linked to it.
Update: 29th of May, 2022
The new sub-department setting now has the option to either divide a percentage or an amount from the original charge you will add on the guest’s bill.
How does it work?
Front Office → Settings Gear Sign → Income → Departments & Payment → Departments
- Select the Revenue Department you would like to apply the sub-departments to.
- Insert the department code you want in the sub-department field.
- Write the revenue percentage or amount you want to apply for this sub department.
- Click Save so as not to lose the changes you made.
- Transportation Providor’s charges after taxes: 22.4 USD
- Hotel’s income from transportation after taxes: 91.2 USD
