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Variable considerations

Configure variable consideration (VC) templates and rules in Recurly RevRec, upload transaction data, and understand how VC estimates apply automatically to transaction lines.

Variable considerations (VC) are charges associated with discounts, rebates, refunds, credits, price concessions, incentives, performance bonuses, penalties, and similar items — amounts determined by factors unrelated to the cost of producing goods or services. In Recurly RevRec, you set up VC templates once, and the system automatically applies VC estimates to transaction lines based on the rules you define.
Available as part of Recurly RevRec
1Configuring variable considerations 2Uploading files to VC 3Key details

Configuring variable considerations

1

Navigate to Variable Considerations

Go to Rules → Variable Considerations.

2

Start a new VC template

Select the "+" button to create a new VC template.

3

Name the template

Enter a name for the VC template.

4

Specify the VC type

Set the VC type, which groups VCs of similar kinds — for example, favorable VC.

5

Configure ERP accounts

Make sure the VC-related accounts in your ERP system are accurately reflected.

  • Accrual Account: A liability account used for VC accrual.
  • Contra Account: A revenue account for VC revenue.
  • Clearing Account: A clearing account associated with VC.
6

Define accrual timing

Define the timing for VC accrual.

7

Set active dates

Enter the active dates for the VC.

8

Manage VC status

Toggle the status to Inactive to inactivate a VC, or to Active to reactivate one you need.

9

Add VC rules

Select the "+" button in the Rules section to assign VC rates or amounts to apply to items. You can provide active dates for each VC rule's items. To remove VC rules or items, delete them.

Below is an example of a completed VC template:

Uploading files to VC

There are two ways to import data for Variable Considerations:

Integrate invoices from Recurly

If VC applies, integrate invoices directly from the Recurly platform into Recurly RevRec.

Load a sales order file

Load a sales order file for which VC is applicable into the system.

Once data is collected and available in the system, Recurly RevRec automatically calculates VC based on your configured rules. The calculated VC amounts are visible in the system as shown below.

Key details

VC in the Revenue Workbench

VC estimates are automatically applied to transactions based on the VC rules defined during setup. You can also manually modify VC in the Revenue Workbench — right-click the item you want to change in the VC tab to see the available adjustment options.

Any changes to variable consideration are reflected in the Revenue Workbench. Adjustments or updates can be made through VC true-up or by initiating clearance to release the updated information.

  • The transaction price in the Revenue Workbench reflects the price after variable consideration adjustments.
  • Revenue to date in the Revenue Workbench is the cumulative sum of revenue, allocations, and favorable variable considerations scheduled for the respective period.
  • The Revenue Workbench provides visibility into the waterfall analysis for variable consideration, showing the breakdown and impact on revenue recognition.
  • VC Accrual represents either the amount calculated by the system or the liability that will be cleared once actuals are incorporated into the process.