Calculating apportionment
Apportionment
The apportionment calculation varies depending on whether you are using a Yearly, Quarterly or Monthly payment frequency. To include apportionment, the period is converted to a daily interval to be able to take into account a “broken” period.
 | The daily price is calculated based on the number of days in the period, multiplied by the period amount. |
When using a yearly calculation, the apportionment is calculated as follows:
Yearly
Payment frequency | Yearly | |
|---|---|---|
Period | 1 January | 15 March |
Amount (period) | 1200 | |
Number of days in a year | 365 | |
Actual number of days in period | 31 + 28 + 15 = | 74 |
Amount (apportionment) | 74 / 365 * 1200 = | 243,28 |
Quarterly
Payment frequency | Quarterly | |
|---|---|---|
Period | 1 January | 28 February |
Amount (period) | 1200 / 4 = | 300 |
Number of days in period | 31 + 28 + 31 | 90 |
Actual number of days in period | 31 + 28 = | 59 |
Amount (apportionment) | 59 / 90 * 300 = | 196,67 |
| | If an amount of 200 is expected as quarterly payment (because there are two months * 100), the calculation should be set to Monthly. |
Monthly
Payment frequency | Monthly | |
|---|---|---|
Period | 1 January | 15 March |
Amount (period) | 1200 / 12 = | 100 |
Number of full months in period | 2 * 100 | 200 |
Additional number of days | 15 /31 * 100 | 48,39 |
Amount (apportionment) | 248,39 |
When using a monthly calculation, the apportionment is the same for all payment frequencies.
Payment frequency | Yearly/Quarterly/Monthly | |
|---|---|---|
Period | 1 January | 15 March |
Amount (period) | 1200 | |
Number of full months in period | 2 * 100 | 200 |
Number of days in broken month | 15 /31 * 100 | 48,39 |
Amount (apportionment) | 248,39 |
Calculating the day price
For calculating the day price based upon the price per year, the value in Amount per field is re-calculated in order to obtain the amount per year.
For instance, the amount per month is multiplied by 12.
For instance, the amount per month is multiplied by 12.
For calculating the day price based upon the price per month, the Amount per is recalculated in order to obtain the amount per month.
For example, the amount per year is divided by 12.
For example, the amount per year is divided by 12.
In case of English / (Old) Scottish / Irish quarters, the day price can also be determined based upon the price per quarter, the Amount per is recalculated in order to obtain an amount per quarter.
For example, the amount per year is divided by 4.
For example, the amount per year is divided by 4.
Calculating the number of days
Calculate the number of days between the start date of the lease and the first payment date and multiply this by the daily rate.
In calculating the day price based upon the price per quarter (English / (Old) Scottish / Irish quarters), the number of days in the involved quarter as is given in Quarters - comparative overview is used.
| | If the (original) period for which the apportionment has to be calculated contains February 29 (Leap year), then this day is taken into account in calculating the day price. For instance, the day price will then be equal to the price per year dived by 366. Note that for a monthly apportionment and a yearly payment frequency, only the month in which the change takes places is recalculated using the day price. All other months still have the ‘normal’ month price. |