Reconcile billings

A billing reconciliation is a comparison between expected billings (based on a calculation) and actual billings in order to identify billing variances.

The Billing Reconciliation report calculates cumulative current billings based on the formula Actual Usage x Current Billing Rates. This is then compared with actual billings, and the billing variance is calculated.

Substantial billing variances should always be investigated.

Navigate to MARC > MARC Admin > Billings > Billings Reconciliation.

An example of the report is shown in the screenshot below.

• Expected Billing is the billing amount AMT calculated based on actual usages entered into AMT, and the current projection's billing schedule.
• Actual Billings are imported into AMT from the enterprise resource planning system.
• Obtain copies of actual customer invoices and reconcile with actual billings to verify data interfaces.
• Be sure that actual billing periods coincide with budget periods (accounting invoice time lag effect).
• Compare actual billing rates from invoices to current projection billing rates.
• Compare current projection billing steps with maintenance contract.
• Set the Use Actual UOM reading to base the report's calculations on usage readings entered into AMT (AMT automatically calculates expected usages based on an asset's usage profile until an actual usage is entered.
• If a variance exists, the administrator should ask the contract manger to investigate.
• Once the reconciliation is validated, the contract manager signs off on the reconciliation between AMT and the enterprise resource planning system.