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Get Started with Service Charges

Sometimes you need to add extra charges to an order to cover overhead costs. You can create service charges on Square Dashboard and instantly add them to any purchase during checkout from your Point of Sale or Invoices app. You can also automatically apply service charges to Square Online orders fulfilled via Pickup, Delivery, or Self-serve Ordering.

Service charges can be percentage-based or a fixed amount that won’t change based on the purchase cost. Add a service charge during checkout, and you and your customer will see the charge as a line item on the transaction.

Set Up Service Charges


You can create service charges from Dashboard and apply them on the Point of Sale app, the Invoices app, or to Square Online orders.

Note: You will need to upgrade to the newly redesigned Square Point of Sale app and run the latest version of the app to use the Service Charge features. Follow our simple guide to get started with the newest version ofSquare Point of Sale

To create and edit service charges:

  1. Go to Account & Settings in your online Square Dashboard

  2. Click Business > Service charges > Create a service charge

  3. Name your charge, choose a percentage-based or fixed price service charge, then enter the amount of the charge. 

  4. Select the location where the charge applies and add any applicable taxes.

  5. Click the toggle if you want to automatically apply this charge to Online orders, then select which fulfillment types you want the charges to apply to. 

  6. Click Save to add your new service charge.

Note: Automatic service charges only apply to Square Online orders fulfilled via Pickup, Delivery, or Self-serve Ordering. You must also have item-level taxes enabled to apply automatic service charges for these fulfillment types. Learn more about tax settings in Square Online

Apply Service Charges

Once you create a service charge on your Square Dashboard, you can manually apply it to transactions from your Point of Sale, the Invoices app, or Dashboard. You can add service charges to orders that include items, custom amounts, or both. You cannot apply a service charge multiple times on the same sale or invoice, though.

From the Point of Sale app:

  1. Go to the checkout screen, then tap Library.

  2. You can search for service charges by name, or tap the Service Charge category.

  3. Choose all of the service charges that apply to the sale. 

  4. Tap Review Sale to check the details of the transaction.

  5. Tap Charge.

The service charge will show as a line item on your customer’s receipt and in your transaction report details. 

From the Invoices app

  1. Log in to the Invoices app and create a new invoice.

  2. Tap Add a line item to apply a service charge.

  3. Select any preexisting service charges you want to apply to the invoice. 

  4. Fill out the rest of your invoice and send it as you normally would.

The service charge will show as a line item in your customer’s invoice and receipt and in your report details.

From Invoices on Dashboard

You can also apply service charges during the invoice creation process in your online Square Dashboard.

To get started:

  1. Log in to your online Square Dashboard and go to Invoices.

  2. Select Send an invoice and fill out your invoice details.

  3. Within “Line items,” select Add a service charge.

  4. Create a new service charge or choose an existing service charge. Indicate the amount of the service charge and add sales tax if needed.

  5. Click Add to apply the service charge to your invoice. Complete the rest of your invoice and send it to your buyer as you normally would.

For Square Online Orders

Any service charge can be automatically applied to Square Online orders fulfilled via Pickup, Delivery, or Self-serve Ordering. Note that item-level taxes must be enabled for these fulfillment types before you can set up automatic service charges.

  1. Go to Account & Settings in your online Square Dashboard

  2. Click Business > Service charges > Create a service charge

  3. Name your charge, choose a percentage-based or fixed price service charge, then enter the amount of the charge. 

  4. Select the location where the charge applies and add any applicable taxes.

  5. Click the toggle if you want to automatically apply this charge to Online orders, then select which fulfillment types you want the charges to apply to. 

  6. Click Save to add your new service charge.


FAQ

Can I make a service charge non-taxable?

Yes. You can create a non-taxable service charge, meaning the charge won't be taxed at checkout. Or, you can assign one or more taxes to a charge, the taxes will be taken out during checkout.

What devices can I use to create and apply a service charge?

You can create service charges on your Square Dashboard from a mobile device or a computer. After you make a service charge, you can apply it to a purchase on the Square Point of Sale app, the Invoices app, or Dashboard.

How many service charges can I apply to one sale?

You can apply multiple individual service charges, but you cannot apply a single service charge more than once. For example, you can apply a pickup service charge and a bag service charge to the same sale, but you can’t apply the bag service charge more than once to that same sale.

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