Setting Up Bucket Rates:
A Bucket Rate is a rate sheet that groups miles into different categories. It enables you to assign a set rate based on the number of miles traveled. Essentially, it combines Per Unit rates and Per Mile rates to calculate the appropriate charge.
Step One:
To review Billing Items set up Article, click link.
How to Add Billing Items/Rate to a Funding Source.
Once you have the basics for Building Billing Items, Now it is time to use the Optional Values Section on Adding New Billing Items for Bucket Rates.
- The Billing Item must be a Per Mile rate format, because you are adding this rate based on the Mileage Buckets ( 0 to 3 mile trips, 4 to 6 miles, and so on).
- Once you have a per mile rate item, then the Rate will the the total amount based on rate sheet. Example, 11.40 based on above rate sheet, for a AMB 0 to 3 mile trip.
- Make it default, pick the space type.
- In the Optional Values section, the MAX/MIN Charges values should be set to match the Rate. For example, if the Rate is 11.40, then the MIN value and MAX value should also be set to 11.40. This ensures that the per mile rate will not be lower or higher than the specified rate.
- The "Min/Max QTY (miles QTY)" refers to the value assigned to each bucket. For instance, the first bucket on the rate sheet for AMB trips is from 0 to 3 miles. This means that any trip within the range of 0 to 3 miles will be charged according to this rate.
MIN/MAX QTY values are determined based on the conditions of Greater Than (>) and Less Than or Equal to (=<). When entering the minimum and maximum quantity for each bucket, it is important to note that you should include the value that is less than the maximum of the previous bucket in the minimum of the next bucket. For example, if the previous bucket has a minimum of 0 and a maximum of 3, the next bucket should have a minimum of 3 and a maximum of 6 (not 4 to 6 as mentioned in the rate sheet). This ensures a proper alignment of the bucket ranges as intended.
- To determine the next rate bucket, refer to the example and set the minimum quantity (Min Qty) to be greater than 3 and the maximum quantity (Max Qty) to be 6. Continue this process for each bucket, following the specified ranges. The typical rate sheet structure includes categories such as 0 to 3 miles, 4 to 6 miles, and 7 miles and above.
- The last bucket, which applies to trips that are 7 miles or longer, does not have a maximum quantity specified. This means that the fixed rate for trips of 7 miles or more will be added. Any trip above 10 miles will have a new rate applied per mile instead of a bucket rate. NO MAX QTY need on the last bucket rate,
- After completing the last bucket for each space type, the next step is to add a billing item for the per mile rate for distances over 10 miles. It is important to note that this billing item needs to be different from the one used for the buckets. In this case, you cannot use "Mileage" as the billing item, instead you should use "Mileage +". This is the value that will be used for calculating the per mile rate for distances exceeding 10 miles.
- To create the rate, follow the standard process, but use the minimum quantity (MIN Qty) value of 10 to indicate any trip above 10 miles. This rate will be applied for trips starting from 11 miles and beyond. The FREE QTY is used to provide 10 free miles for an 11-mile trip, so the quantity (QTY) value will be 1.
- Once done with all rates, click Done adding, and follow steps to Update trip charges on existing trips in the system.