In this article, we’ll explain how to set up and use the Levy feature in Spektrix. We’ll also share how to add a Levy to a Ticket Type and Event Instance, along with insights into handling Levies in reports.
TIP: If you do not already use the Levy feature you’ll need to contact Support who’ll activate this on your system.
What is a Levy?
A Levy is an additional charge added within a customer’s Ticket price.
Levies are generally used to collect additional income intended for a specific purpose.
For example, an organisation might use a Levy to generate funds to maintain the upkeep of a historic theatre building. This can also be known as a Restoration Levy, Capital Improvement Fee (CIF in Canada) or Facility Fee.
You can use a Levy when you need to add multiple fees to a ticket, often when you are already using Ticket Commissions.
Levy and Ticket Commissions
Levies are included in the Ticket price, while Ticket Commissions are added on top of the Ticket price.
Ticket Commissions are charges that are applied outside of a Ticket price using a Ticket Commission Structure.
Ticket Commissions can be set as a specific amount or percentage of the Ticket price, and can be waived automatically for certain Customers online and in the Box Office. Only one Ticket Commission value can be applied to a ticket at any one time.
You might find a Levy useful if you’re already using Ticket Commissions and need to add an additional charge within the Ticket price.
How the Levy Works
You can apply a Levy to all, or certain, Ticket Types and / or Instances.
When a Customer purchases a Ticket with a Levy they’ll see the total Ticket price.
The Levy is included in the Ticket Price and is not displayed separately to customers or Spektrix users.
- A Levy is set at Instance level. There can only be one Levy amount per Instance. The Levy amount cannot change based on Ticket Type.
- Levies must be set at a fixed value and cannot be a calculated percentage (%).
- Levies are deducted from the total Ticket price. Therefore, to charge a Levy you must include the Levy in the cost of your Ticket when you assign prices in your Price List.
- If a Tax needs to be charged to your Levy amount, you’ll also need to calculate this manually and add this to the price of your Ticket.
- If you’re also charging a Ticket Commission, Ticket Commission charges will display as itemised separately.
- You can apply Levies or update Levy amounts in Instances using the Bulk Instance Update Tool.
TIP: To check that a Levy has been assigned to an Instance correctly, you'll need to manually check each Instance in the Admin interface.
- You can only view a Levy in Custom Reports. Standard reports will not display itemised Levy charges. However, the total Ticket price which includes the Levy will display in Standard Reports.
- If you add a Levy, you may want to consider updating your terms and conditions to inform your customers that a Levy charge is included in the Ticket price.
Example
Lets say you want to sell an Adult Ticket at the price of $18, with a $2 Levy and a $1.50 Ticket Commission. You’ll first need to manually calculate and apply any relevant Taxes to your tickets and charges.
For example:
Ticket price = $18.00
5% Tax = $0.90
Total Ticket price: $18.90
Levy = $2.00
5% Tax = $0.10
Total Levy price = $2.10
TIP: A Levy is always subject to Tax (VAT in the UK). The Tax Code for a Levy will be inherited from the Tax Code of the Instance that the ticket charged is associated with.
Unlike the Levy, Ticket Commissions are charged on top of the Ticket Price and itemised but you’ll also need to manually calculate and apply any relevant Tax.
For example:
Ticket Commission = $1.50
Tax = $0.08
Total Ticket Commission = $1.58
Once you have completed these calculations, you’llneed to manually update the price of the Ticket in your Price List to the Total Ticket Price plus the Total Levy price. Then, manually update the price of your Ticket Commission to include any Tax.
- In the Price List you’ll enter:
Ticket Price = $21
- In the Ticket Commission field you’ll enter:
Ticket Commission = $1.58
- In Custom Reports you can itemise the Levy charge to see:
Ticket = $18.90
Levy = $2.10
Commission= $1.58
TOTAL = $21.68
Ticket price $21.00
Total of $21.58 (including £1.58 commission).
REMINDER : Levy calculations are only visible in Custom Reports and can’t be seen anywhere else in the system.
How to set up a Levy
To start using the Levy feature, contact Support who'll activate this on your system.
Once active, you’ll need to:
- Update your Price List(s)
- Enable the Levy on Ticket Types
- Add a Levy amount to Event Instances
TIP: To access the Admin Interface, you’ll need the General Administrator Role. If you don’t have this Role, ask the Settings administrator in your organisation to add this Role to your User Account.
Update your Price List
Before adding the Levy on to Ticket Types and Instances, you’ll need to update your Price Lists to include the Levy.
- Edit your Price List
- Update the price of each of the Ticket Types you want to add the Levy to
You will need to manually calculate the cost of the Ticket Price plus the price of the Levy.
As with other Taxes in Spektrix, any tax you want to charge on the Levy must also be calculated and added to the price of each of your Ticket Types in each of your Price Lists.
Follow the instructions in How to Edit a Price List to update your Price List. You’ll need to repeat the steps for each of the Price Lists you use where you want to include a Levy.
How to enable a Levy on Ticket Types
Once the Levy feature is active, you can enable the Levy on your Ticket Types.
Follow these steps:
- In the Admin Interface, go to Pricing > Ticket Types
- You’ll see a Levy check box next to each of your Ticket Types:
- Click Edit next to the Ticket Type you want to add the Levy to:
- Check the Levy box next to the Ticket Type(s) you want to apply the Levy to. Click Save:
REMINDER: Levies are deducted from the total Ticket price. Therefore, to charge a Levy you will need to update the Ticket prices in your Price List and apply this to your Instances.
How to add a Levy to an Event Instance
Once you have applied the Levy to your Ticket Types, you’ll need to add the Levy amount to your Event Instances.
To set the Levy against an Instance, follow these steps:
- In the Admin Interface, go to Events
- Search for the Event and select the Instance
- Click Edit
- Scroll down until you see the Levy Amount field. Enter a Levy Amount:
- Click Save
REMINDER: Adding a Levy amount to an Instance will not add a Levy charge to your Ticket Prices. To charge a Levy you will need to update the Ticket prices in your Price List and apply this to your Instances.
Reporting on Levies
It is not possible to itemise the Levy in any Standard Reports. A Standard Report will show the Ticket Price including the Levy. This cannot be displayed separately.
To report on Levies, you’ll need to request a Custom Report by completing the Report Request Form.
The Metrics used in reporting can show you:
- Total price
- Total Levy
-
Total Commission
Custom reports can also show:
- The amount of Tax charged on the Price, Levy and Commission
- Price, Levy and Commission values with the Tax removed (net).
Further Reading
To learn more about taxes and charges in Spektrix, take a look at the Manage Payments section on the Support Centre.