I have created a bundle for my monthly managed services. The bundle includes a license to antiviral software (taxable), a license to the backup software we use (taxable), and the remaining portion is for our RMM service (non taxable).
Although these aren’t the prices we use, I put an example here:
Managed Server Bundle:
Product Name - Cost - Price - Taxable
Antivirus License - 1 - 5.00 - Y
Backup Software - 10 - 25.00 - Y
RMM Service - 0 - 70.00 - N
Total Bundle Cost = $11 (plus labor costs while resolving tickets that come in each month)
Total Bundle Price = $100
I created all of this just fine in SyncroMSP, and then I went to add this bundle to a monthly recurring invoice. Apparently bundle items can only be single quantity. Meaning, I have a client with 3 servers, so I can’t change quantity to 3.
Is there a setting that I can change that will allow bundle items to be invoiced with a quantity more than just one? Am I doing something wrong? I’m open to suggestions.
This is a really old post, but a workaround would be to add the bundle multiple times. Which really isn’t great because you can’t use policy folders, based on contacts or anything and has to be done by hand.
Thank you for the suggestion. Doesn’t seem realistic to have 30, 40, 50 lines of “Managed Service User”, though.
This is causing me huge issues trying to move billing to Syncro and I don’t understand why this request hasn’t gained more tracking. Are others just ignoring sales tax on bundles, or what?
Bumping this again. Having to choose between switching to a different billing system, hiring someone to fix everything manually for each month’s billing, or donating thousands in free sales tax to our state. Hoping we can get Syncro to add this feature!
Can you explain your use case please? Are you not able to list the items individually on the recurring invoice, even if some are informational with a $0 price?
Hi Andy, thanks for the reply!
Our situation is that we bill per-user or per-device, which includes both products and services. Here’s a fake simple example: a Managed Service Device bundle item might include a license for antivirus software, valued at $10, plus unlimited remote support. Let’s say we charge $100 for the Managed Service Device.
Our state taxes only goods, not services, at 6% sales tax. If I can bundle the item, I can have the $10 antivirus be taxable, so sales tax is $10 x 6% = $0.60. The other $90 of the $100 item is services and is not taxable.
Without bundling, we must have the full value of the item be taxable. Our state tax dept. has advised if we have no way of tracking the goods and services in the package, we must tax the entire amount. So, now tax is $100 x 6% = $6. So, we are charging 10 times more sales tax than necessary.
We could break it down into separate line items for antivirus, MDR, and all the other taxable costs, but we prefer to bundle to keep it simple for us and the client, and make it clear it’s a package of services, not an a la carte selection.
Maybe I am naive but it seems like it’s arbitrary that bundles can’t have quantities greater than 1, and maybe it would be easy for the Syncro team to change this.
I am open to hearing creative workarounds, but if the bundle quantity could be more than 1, that would make things so easy!
Ok so not to take away from the core request, but there are two workarounds for you.
First, is you can just break them up and use the same counter on two different line items. So have your managed services per user at $90 per, and a second line item (counting the same thing) as your antivirus licenses charging $10 per (and with tax). This should work fine other than aesthetically showing two line items vs one. Also, if only part of the “bundle” is getting taxed, that might be confusing for customers who see a $100 charge, but tax not being applied to the entire $100. In fact, if they ever were audited by the state this would likely pose an issue because it’s not clear what the taxes paid were for.
The second option, and please speak to your accountant about this to ensure they are okay with it, is to simply charge $0 for your AV and it kills 100% of the confusion. You charge $100 per user for labor exclusively, and you give away the AV licenses as a sales tool used to help close deals. Then there are no weird tax issues at all, and you don’t need to bundle anything. You just ingest your total AV spend as an expense in aggregate, and you’re done. It’s almost like saying you include the cost of your RMM agent per customer in the $100 fee as well. You just aren’t reselling it to your customer, so you just log it as an expense and move on.
Bumping this thread as well. I would like to dynamically count and bill based on customer contact count for our bundles. My a-la-carte and per user options have different price points and it is much simpler to bundle the a-la-carte items and charge based on the bundle. However, I do not want to manually have to adjust invoices each month and want it to be automated.
I just want to bump this thread as I have the same request. I want to have a per user bundle for easier tracking rather than have it be a single line item, but being unable to add bundle quantities makes that a non-starter. There’s no way I’m going to go to a prospect with a 10-page quote where 9 of the pages are just “standard managed user” over and over.
We ended up splitting into two line items, both with a user counter. These are both standard line items, not bundles.
Managed Service User - the services and non-taxable goods
Managed Security Software Package - the taxable goods
Both of these are tied to identical contact counters, so they will always have the same quantity.
Let’s say we charge $100 per user (just a round number for an example). The User item is $75 and the Security Software item is $25.
Our cost on the taxable software (antivirus, MDR, etc) is like $10 but we mark it up to be extra safe I guess.
It’s not perfect, but it works and clients seem to get it. I just explain the history and tell them it results in less sales tax they have to pay.
