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Administrator Guide
Last Updated: 2025-10-31
Create Award Billing Schedules

Create Award Billing Schedules

  • Create an award without creating the billing schedule for the award. See Create Awards.
  • Security:
    Process: Billing
    domain in the Customer Contracts and Project Billing functional areas.
Workday uses the award billing schedule to determine when and how to bill the award sponsors for expenses on your award lines. You must create and approve the billing schedule for an award before you can bill the sponsor for the award. The award billing schedule enables you to specify:
  • Billing method, frequency, and installment details.
  • Letter of credit draw identifiers.
  • Milestone tasks to complete before you can bill the sponsor.
  • Payment terms and type.
  • Retention terms.
  • Whether to bill the sponsor in installments or by transactions.
  • Which award lines to bill with the billing schedule.
The billing schedule also enables you to customize and generate installments.
To create multiple billing schedules of the same type quickly, you can use a billing schedule template. See Create Award Billing Schedule Templates.
  1. Access the
    Create Billing Schedule for Award
    task.
  2. As you complete the task, consider:
    Option Description
    Award
    You can only select awards with at least 1 award line that's not associated with a billing schedule.
    Create New Billing Schedule
    Create the billing schedule manually.
    Billing Schedule Template for Award
    When you create a billing schedule from a template, the billing schedule is in
    draft
    status. You can edit the draft to customize the schedule header and manage installments before submitting it.
  3. As you complete the
    Billing and Schedule Information
    section, consider:
    Option Description
    Schedule Type
    Select a
    Prepaid Billing
    if you want to either:
    • Bill on cost reimbursable award lines by installments.
    • Enable automatic consumption of prepaid amounts for cost reimbursable award revenue.
    Schedule On Hold
    You can select this check box to stop billing from occurring for all transactions on the billing schedule.
    Billing Limit
    You can set a billing limit on
    Transaction
    billing schedules for cost reimbursable award revenue.
    Specify the maximum total amount that you can bill with the billing schedule. When multiple award lines share the same billing schedule, the amounts billed on each award line apply towards the same billing limit.
    When you don't set a billing limit on the billing schedule, Workday limits your billing amount based on these settings on the award header, in this order:
    • Billing limit override.
    • Authorized amount when you don't specify a billing limit override.
    The billing limit on a billing schedule doesn't limit the amount that you can draw down in a letter of credit.
    Enable Consumption of Prepaid Balance
    Displays when you create a billing schedule for cost reimbursable award lines with prepaid installment billing.
    Select this check box to apply cost reimbursable spend to prepayments. Workday:
    • Debits the cost reimbursable amount from the Deferred Revenue account.
    • Credits it to the Unbilled Receivable account.
    You can view the accounting for the consumption of prepaid balances on the customer invoices.
    Do Not Bill Over Installment Total
    Displays when you create an
    Installment
    billing schedule with
    Prepaid Billing
    schedule type.
    When you want to associate an
    Installment
    billing schedule with a cost reimbursable award line to enable cost reimbursable expenditures to consume installments paid by the sponsor, you can select this check box to ensure that you don't create invoices over the installment amount regardless of the spent amount.
    When there's:
    • Insufficient prepayment balances, Workday generates a partially billed customer invoice.
    • No more prepaid balances, Workday doesn't create a sponsor invoice for the cost reimbursable transaction.
    Milestone
    Displays when you select
    Installment
    from the
    Billing Type
    prompt.
    When you assign a billing milestone task, the task applies to all installments on the billing schedule. To assign billing milestone tasks to specific installments, first generate all the installments, then select
    Billing Installment
    Edit Installment/Milestone/Hold
    from the related actions menu of the installment.
    You can configure award tasks as billing milestones when you create an award task list for the award. To select billing milestone tasks, your award schedule must be in
    draft
    status.
    Billing Method
    When you select
    Installment
    from the
    Billing Type
    prompt, you can specify how and when you want to bill the installments.
    When you select either
    Custom
    or
    Defined Installment
    , you can further configure the installment dates and amounts on the next page.
  4. When the award contains a letter of credit, you can view and complete the
    Letter of Credit Details
    section, and consider:
    Option Description
    Letter of Credit
    Displays the letter of credit on the award header.
    Letter of Credit Draw ID
    To draw on letters of credit at a more granular level than the award, select or create a draw ID for the billing schedule.
    When you don't assign a letter of credit draw ID on any billing schedules on your award, you can record drawdowns at the award level.
    Assigning a draw ID to the billing schedule enables you to view and adjust letter of credit draw amounts for award lines on the billing schedule.
    You can associate a draw ID with 1 or more billing schedules for the same award.
    You can't add, change, or delete a draw ID from a billing schedule when another billing schedule event business process is in progress for the same award.
    Use the draw ID only when the sponsor requires you to draw down at a finer granularity than the award level.
  5. In the grid, assign 1 or more award lines to the billing schedule.
  6. On the
    View Billing Schedule
    page, you can access subtasks to further define the billing schedule. The subtasks you can access depend on what you select for the
    Billing Type
    and
    Schedule Type
    . The subtasks are:
    Option Description
    Edit Schedule Header
    To make changes to any header information on the
    View Billing Schedule
    page, select this subtask.
    Edit Retention Terms
    You can specify the percentage and release date of a retention for cost reimbursable or fixed amount award lines.
    Define Installment Amounts
    When you select
    Defined Installment
    in the
    Billing Method
    prompt, use this option to specify the amounts on the first and last installments. Workday divides the remainder among the other installments.
    Generate Installments
    Use this option to generate installments after you define the installment amounts and customize any installment dates.
    Customize Installments
    When you select
    Custom
    in the
    Billing Method
    prompt, use this option to customize the invoice dates for each of the installments.
    Manage Milestones
    You can define date milestone types for transaction billing schedules for cost reimbursable awards. Workday prevents you from billing the sponsors until you mark the milestone as complete.
  7. When you complete a subtask, click
    OK
    to return to the
    View Billing Schedule
    page. When you finish configuring the billing schedule, click
    Submit
    to change the status of your billing schedule from
    Draft
    to
    Approved
    . You can also submit or further edit the billing schedule from the related actions menu of the billing schedule on the award.
  • Create customer invoices to bill the sponsor. To create invoices for grouped awards, access the
    Create Invoices for Cost Reimbursable Award Transactions
    task.
  • To create the billing schedule as part of an award creation process, add
    Award Billing Schedule Event
    as a subprocess on the
    Award Event
    business process after the completion step.