Registering a price level amount
You can use price level amounts to register future price increases during the life of a contract. Planon will automatically index and adjust these amounts whenever the contract is indexed between the Price level date and the Date effective.
 | This feature is available for all types of lease contract lines, but not for service contract lines and SLA lines. |
1. Go to the Contracts / Lease contracts (lease accounting) TSI.
2. Select the contract line for which you want to register a price level amount.
3. On the action panel, click Add price level amount.
The Price level amount wizard opens.
4. On the Price level amount changes step of the wizard, specify the Price level date. The amount has a specific value on this date.
5. Specify the date as of which the price applies in the Date effective field.
6. Enter the amount in the Price level amount field.
7. Click Next in the wizard to go to the Price level amount details step.
This read-only overview displays the Price level date and the Date effective you specified in the previous step of the wizard. The other fields are automatically populated by Planon. The Old amount field displays the old price and the New amount on 'Date effective' field displays the new price, as specified in the previous step of the wizard.
8. Click Complete to confirm your settings and close the wizard.
The price level date and price level amount are stored on the contract line. The new amount is stored in the Amount field on the contract line. Planon will automatically recalculate the amount whenever the contract is indexed or re-indexed between the price level date and the date effective.
Example
The following example shows how price level amounts in combination with indexation works in Planon.
◦ Start of the lease in April 2020 with a rent-free period
- October 15, 2020: the amount becomes 2,000 EUR/month (price level 2020)
- October 15, 2021: the amount becomes 2,500 EUR/month (price level
2020)
- October 15, 2022: the amount becomes 3,000 EUR/month (price level 2020)
◦ The contract will be indexed with 103/100 as of January 1, 2021
- October 15, 2021: the amount becomes 2,575 EUR/month
- October 15, 2022: the amount becomes 3,090 EUR/month
◦ The contract will be indexed with 105/103 as of January 1, 2022
- October 15, 2022: the amount becomes 3,150 EUR/month
◦ The contract will be re-indexed with 106/103 as of January 1, 2022
- October 15, 2022: the amount becomes 3,180 EUR/month
◦ As of October 15, 2023, there will be an additional amount change (price level is 3,500 in 2021). Given the indexation of 106/103 as of January 1, 2022, the amount becomes 3,601.94 as of October 15, 2023.