In the rental industry, offering a Damage Waiver is essential for protecting equipment and streamlining compensation processes. This guide provides a comprehensive overview of how to configure a Damage Waiver in HirePOS, ensuring automation and accurate calculations for your rental transactions.

In this guide:

• Damage Waiver Overview

• Setting Up a Damage Waiver Item

• Setting the Percentage Calculation

• Setting the Damage Waiver Item as Auto-Add

• Exempting Customers from Damage Waiver

• Exempting Items from Damage Waiver

• EOM Rollover Options

A Damage Waiver is represented as a non-stock item (e.g., "Damage Waiver") that serves as a charge on rental invoices. The value of the Damage Waiver is calculated as a percentage of all hire items included on the same invoice. This item is automatically added to every new sales record, and you can assign it by navigating to Setup > Preferences > Sales > Damage Waiver (Auto Add). Additionally, customers marked as Damage Waiver Exempt will not incur this charge, which can be set in Setup > Customers > Insurance > Damage Waiver Exempt.

To create a Damage Waiver item, follow these steps:

1. Go to Setup > Items and click on + New Item.

2. Enter a description (e.g., "Damage Waiver") and a code (e.g., "DW").

3. Set the Item Type to non-hire (e.g., Misc).

4. Check the Non Stock option in the Configuration section.

5. In the Rates/Prices tab:

   • Select "Each" in the Unit column.

   • Set both Sell Ex and Sell Inc to 0.00.

6. Click Save New to save the item.

To configure the percentage calculation for the Damage Waiver, follow these steps:

1. In the Rates/Prices tab, click the :: popup menu next to "Each unit."

2. Select Percentage Calculation.

3. Enter the Charge % (e.g., 12%) and select the following parameters:

   • Basis: % of All Hire Items.

   • Consistency: Choose either Inc GST or Ex GST for both calculation fields.

4. Click Save Changes.

To ensure the Damage Waiver is automatically added to new sales records, follow these steps:

1. In the Rates/Prices tab, scroll to the Auto Add section.

2. Select Auto Add Item (As Last Item).

3. Click Save Changes.

The Damage Waiver will now be automatically added to new sales records.

You need to specify which item is your Damage Waiver, navigate to Setup > Preferences > Sales and set the newly created item as your "Damage Waiver (Auto-Add)" item. Remember to save your changes.

To exempt specific customers from the Damage Waiver charge, follow these steps:

1. Navigate to Setup > Customers and edit the desired customer.

2. In the Insurance tab, check the Damage Waiver Exempt option.
   This will prevent the auto-add item from automatically adding to the new Invoice.

3. Save your changes.

There are two methods to exempt items from the Damage Waiver:

This method involves adding the Damage Waiver as a companion item to specific hire items and configuring it to calculate based only on the item above it. Please note that this method is not compatible with online store orders. Follow these steps:

1. Edit the hire item in Setup > Items.

2. Go to the Companions tab and add the Damage Waiver item.

3. Check the Required option and save.

4. Use % of Previous Line Item when setting the Damage Waiver.

This method utilises a standard All Hire Items Damage Waiver. To avoid additional waiver charges, replace the hire item's charge with a Misc/Non-stock item.

When configuring the Damage Waiver, you have two options for end-of-month (EOM) rollover:

• Fixed Charge: Apply the Damage Waiver to the first invoice based on the initial hire period.

• Variable Charge: Apply and recalculate the Damage Waiver for each invoice as amounts adjust.