ConnectWise Agreement Type Setup Table
Agreement types are reusable templates that define how an agreement behaves when applied to a customer. If you sell standard service packages, create a specific agreement type for each one. If your offerings vary per customer, create a few base templates and adjust them at the agreement level.
You can create multiple agreement types to segment revenue by type on the Financial Dashboard.
Common agreement type patterns
| Type | Description |
|---|---|
| One Time Block | A fixed block of dollars or hours sold as a retainer. Set Prepayment to post the initial charge to a deferred revenue account. Revenue moves to the appropriate account when a $0 invoice is created for covered services. |
| Recurring Block | A monthly block of dollars or hours — for example, a staffing arrangement. Configure the block to roll over unused hours or expire them at month end. |
| Managed Service | A fixed-price agreement covering a defined list of services. Use the Exclusions field on the agreement to specify what is and isn’t covered. |
| Hosting/Cloud Services | A monthly billing agreement for recurring cloud services such as email hosting, web hosting, or server co-location. |
Agreement Type Overview fields
Go to Setup Tables > Agreement Types and open or create an agreement type. The Agreement Type tab contains these fields:
| Field | Description |
|---|---|
| Name | The agreement type name. This appears on the Financial Dashboard and may appear on invoices generated from Agreement Invoicing or the Invoice Wizard. |
| Prepayment (reverse revenue when applied) | Select to post the initial charge to a deferred revenue account. Required for one-time block agreements. Also required if you want Application Parameters to cover sales tax. You must create a GL Accounts mapping for the agreement type with the deferred account referenced in the Account field. |
| SLA | Select a service level agreement to attach to this agreement type. |
| Inactive | Select to hide this agreement type from the Agreement Type drop-down when creating new agreements. Use this for services you no longer offer. |
| Default | Select to pre-select this type in the Agreement Type drop-down when creating a new agreement. Use this for your most commonly sold agreement. |
| Location | Select the company location to assign to agreements of this type. |
| Restrict (Location) | Limits this agreement type to the selected location only. |
| Department | Select the company department. Only departments linked to the selected location appear here. |
| Restrict (Department) | Limits this agreement type to the selected department only. |
| Copy Work Role to Agreement | Select to copy work roles to each agreement as a standalone record, disconnected from this template. If cleared, the agreement references the work role on the agreement type — changes here affect all referencing agreements. |
| Copy Work Types to Agreement | Same behavior as Copy Work Role to Agreement, applied to work types. |
Note: Changes to agreement type templates retroactively affect work roles and work types on existing agreements. All other changes only apply to future agreements.
Note: If Copy Work Role to Agreement is cleared and you later want to sever the link for a specific agreement, delete the work role from that agreement — it will re-reference the agreement type. If it shows the agreement type name, it’s a reference. If it doesn’t, it’s a standalone copy.
Application Parameters
Application parameters control how service activity is tracked and consumed against the agreement. These settings are independent of the invoicing parameters.
| Field | Description |
|---|---|
| Application Units | Select the unit for measuring agreement consumption: Amount (dollars), Hours, or Incidents (one per service ticket, including child tickets). |
| Application Limit | Enter the maximum dollars, hours, or incidents available per period. |
| Unlimited | Select if no maximum applies. |
| Available Per | Select the renewal period for the application limit. Options include Calendar Month, Calendar Quarter, Calendar Week, Calendar Year, Contract 2 Weeks, Contract 4 Weeks, Contract Quarter, and Contract Year. Calendar-based periods reset on fixed calendar dates; contract-based periods reset relative to the agreement start date. |
| One Time | Select if no time period applies (block agreements). |
| Carryover Unused | Select to carry unused balance into the next period. Oldest carryover hours are consumed first. Does not apply to one-time or unlimited agreements. |
| Days Expires In | Enter the number of days after the period ends that carried-over balance remains usable. If set to 0, carryover expires immediately. |
| Allow Overruns | Allows the agreement balance to go negative within a period, up to the percentage entered in Percentage Limit. For example, at 20% overrun on a 10-hour monthly agreement, a customer can borrow up to 2 hours from the next month — reducing next month’s opening balance to 8 hours. For one-time block agreements, overruns accumulate until a new block is added or you intervene manually. |
| Percentage Limit | Enter the overrun percentage cap. If Allow Overruns is selected and this is set to 0, overruns are blocked. |
| Agreement Covers | Select the item types this agreement applies against: Time, Products, Expenses, Sales Tax. Time is applied immediately when a time record is entered. Products and expenses are applied at invoice creation. |
| Agreement expires when available is zero | Select to auto-expire the agreement when its balance reaches zero. Only valid for non-recurring (one-time) agreements. After expiration, no adjustments can extend the agreement. |
| Charge Adjustments to the Internal Company | Select to charge any service or agreement adjustments to the firm rather than the engineer. When charged to the firm, the engineer’s billable hours are not reduced. When charged to the employee, billing dollars are reduced proportionally across all engineers who billed that customer. |
Note: After-hours charges (time-and-a-half, multiplier work types) are fully applied only against an Amount-based agreement. An Hours-based agreement applies the raw hours entered, not the dollar equivalent.
Note: An hours-based agreement can only cover Time — not products, expenses, or sales tax.
Employee Compensation Information
| Field | Description |
|---|---|
| Employee Compensation | Select Actual Hourly Rate to use each time record’s rate, or Custom Hourly Rate to apply a single rate to all time records. Enter the custom rate in the adjacent field. |
| Do Not Exceed | Set a cap on employee compensation. Options: Custom Monthly Amount, Monthly Billing Amount, or Percent of Monthly Billing Amount. Enter the amount or percentage in the adjacent field. |
Covered Work Roles and Work Types
Use the arrow controls to move work roles and work types between the Covered and Not Covered columns. Work roles and types in the Not Covered column bill separately from the agreement.
Billing Defaults
| Field | Description |
|---|---|
| Billing Cycle | Select a billing cycle: Annual, Bi-Monthly, Bi-Weekly, Monthly, Not Billed, Quarterly, Semi-Annual, or Weekly. |
| One Time | Select for agreements that do not recur. |
| Cycle Based On | Select Calendar Year (January 1 – December 31) or Contract Year (based on the billing start date, not the agreement start date). |
| Billing Amount | Enter the amount invoiced each billing cycle. In the GL Accounts setup table, this maps to revenue agreements. Products added to the Additions tab are mapped as Revenue Agreements Products. |
| Billing Amount Taxable | Select to charge sales tax on this agreement at invoicing. If selected, taxable items applied to the agreement will not calculate tax again at invoicing. |
| Include Suffix/Prefix on Invoice | Select Prefix or Suffix to add fixed text to invoice numbers for this agreement type. |
| Enter Prefix or Suffix | Enter the text to prepend or append to invoice numbers. |
| Terms | Select payment terms for this agreement type. |
| Integration Xref or Avalara Tax Code | Enter the accounting package cross-reference code, if applicable. |
| Restrict Down Payment | Select to limit any down payment to this agreement’s invoice only. Clear to allow the down payment to apply to any invoice. |
| Prorate Agreement | Select to pre-check the Prorate Agreement option on all agreements created with this type. |
| Bill Prorated Additions Immediately | Select to include additions in invoicing immediately if added after a billing period has already been invoiced. Only available when Prorate Agreement is selected. |
| Automatically Generate Invoices | Select to auto-create invoices on the first of each month. Not available for one-time billing cycles. If saved on an existing agreement, any items sitting in Agreement Invoicing for past periods will be generated immediately. To modify a generated invoice, delete it — it will return as a line item in Finance > Invoicing > Agreement Invoicing. |
Invoicing Information
| Field | Description |
|---|---|
| Show covered items on Standard invoice | Select Time, Expenses, and/or Products to include covered items on the invoice. Showing covered time on a $0 invoice lets you communicate the value of work performed without charging the customer. |
| Show comment on the invoice as the | Select Top Comment, Bottom Comment, or both. If both are selected, the comment appears twice. |
| Comment box | Enter invoice comments. The comment appears in the location(s) selected above at each billing cycle. |
| Invoice Template | Select a default template for recurring invoices generated from Agreement Invoicing. This template does not apply to invoices created from the Invoice Wizard. |
| Email Template | Select a default email template. The selection carries over to the Agreement screen when the same agreement type is selected. |
Record Defaults
These settings define default values for tickets and projects associated with this agreement type. Defaults set here override the member-level and setup table defaults.
| Field | Description |
|---|---|
| Work Role | Select the default work role for tickets using this agreement. Overrides the default work role on the member record. |
| Work Type | Select the default work type for tickets using this agreement. Overrides the default in the Work Type Setup Table. |
| Project Type | Select the default project type for projects linked to this agreement. Overrides the default in the Project Type Setup Table. |
| Bill Time | Select Billable, Do Not Bill, No Charge, or No Default. No Default defers to the Billable Options Hierarchy. |
| Bill Expense | Select Billable, Do Not Bill, No Charge, or No Default. |
| Bill Products | Select Billable, Do Not Bill, No Charge, or No Default. |
Default for New Records
Use this section to configure which service board, location, department, and service type the agreement defaults on when a new ticket is created.
If you have multiple active agreements for a customer, ConnectWise selects the default using this hierarchy:
- An active agreement with Default selected, where the service board matches the ticket and either no site is specified or the site matches the ticket.
- An active agreement associated with the matching location and group (both must match), not associated with the service board on the ticket.
- An active agreement associated with the matching location but not the group.
Note: This hierarchy applies only when creating new tickets. Changing or adding an agreement on an existing ticket does not reset the agreement type.
| Field | Description |
|---|---|
| Location | Select the location that defaults on new tickets. |
| Department | Select the department that defaults on new tickets. |
| Board | Select the default service board. |
| Service Type | Select the service type that defaults on new tickets. |
| Default | Select to have this agreement auto-populate on new tickets for the selected service board. Add the board without selecting this checkbox if you want the board association without the auto-default. |
Work Role Tab
The Work Role tab lets you override the rates from the Work Role Setup Table for this agreement type. Rates set here apply to all customers using this template. To set rates per customer, add them at the individual agreement level instead.
Leave Work Role blank to apply the rate to all work roles — useful for flat-rate agreements or blanket discounts.
| Field | Description |
|---|---|
| Work Role | Select a work role to override, or leave blank to apply to all roles. |
| Rate Type | Select how the override rate is calculated: Adjusted Amount (adds to standard rate), Custom (replaces standard rate), or Multiplier (multiplies standard rate). |
| Rate | Enter the adjustment amount, custom rate, or multiplier. |
| Effective Date | Select the date this override takes effect. For back-dated agreements, set this before the earliest time entry you want covered — otherwise the custom rate will not apply. |
| Limit To | Enter the hours, incidents, or amount billed at this rate before the next rate setting takes over. Requires Application Units to be set on the agreement type. |
| Ending Date | Select the last date this override applies. Leave blank for no end date. |
Rate type calculations:
| Rate Type | Rate | Result |
|---|---|---|
| Adjustment | $25 | Std. Rate $100 + $25 = $125 |
| Custom | $200 | $200 (replaces standard rate) |
| Multiplier | 1.5 | Std. Rate $100 × 1.5 = $150 |
Work Type Tab
The Work Type tab works the same as the Work Role tab but applies to work types. You can also set minimum and maximum hours per time entry and configure overage rates.
Leave Work Type blank to apply settings to all work types.
| Field | Description |
|---|---|
| Work Type | Select a work type to override, or leave blank to apply to all types. |
| Rate Type | Select Adjusted Amount, Custom, or Multiplier. |
| Rate | Enter the adjustment, custom rate, or multiplier. |
| Effective Date | Select the start date. Set this before the earliest time entry for back-dated agreements. |
| Ending Date | Select the last date this override applies. Leave blank for no end date. |
| Bill Time | Select Billable, Do Not Bill, No Charge, or No Default. |
| Hours Min | Enter the minimum hours per time entry. Leave blank for no minimum. |
| Hours Max | Enter the maximum hours per time entry. Leave blank for no maximum. |
| Round Bill Hours To | Enter a number or decimal to round billing hours to. |
| Limit To | Hours, incidents, or amount billed at this rate before the overage rate applies. Requires Application Units to be set. |
| Overage Rate | Enter the rate applied once the Limit To threshold is exceeded. Can be used to charge more or grant a discount on overages. |
| Overage Rate Type | Select Adjusted Amount, Custom, or Multiplier for the overage calculation. |