2. Vessel Charter
Vessel charter module will allow the user to define the charter agreements by each vessel and vessel owner.
User can define the on hire and off hire details with the applicable charges. It has the facility to define the ROB
details by each agreement.
System also has the facility to alert the users on predefined interval before the off hire date. It also has facility
to define any brokerage and commission payable to the parties.
Setting up the Time zone
Time zone can be setup either in the agent location master or port master. System will first check whether the
on/off hire location of the vessel is available in the agent location master, if not then the system will check the
same in the port master. If none of the places defined with time zone, then user will get an error message
System Administration General Setup Agent Location master
Afsys Masters Cargo master entries Port master
3. 1. Vessel Charter Agreement
Path: Tariff Setup --> Costing Transactions --> Charter Vessel Agreement
User can press <New Agreement> button to prepare a new Charter agreement, system will also
display the existing agreements prepared in the system and user can query and see the details.
Once the agreement is prepared and calculation is done, the following details only will be available for
any amendments and rest all details can be only viewed.
4. 1. ROB details
2. Redelivery notice days
3. Off hire date
4. Remarks
User can enter the vessel, vessel owner and payable account to which the charges to be posted. Also
they can feed the on hire and off hire details, based on that GMT details will be calculated by the
system.
Local/GMT date: Either user can enter the local date first and then select the location to derive the
GMT, else user can select the location first and then select the GMT date to derive the local date
5. Re delivery notice days: User can define the days prior to which system need to send auto alert, there
are maximum 10 fields available to define the days.
Brokerage %: User can define the applicable brokerage percentage payable to parties.
Charge: User need to select the charge code on which the brokerage amount will be accounted.
System will list all the disbursement charge codes.
On Charge: User need to select the charge code (on amount) on which the brokerage percentage to
be applied during calculation. This charge code will be entered in the tariff part of the agreement.
Commission %: User can define the applicable commission percentage payable to parties.
Charge: User need to select the charge code on which the commission amount will be accounted.
System will list all the disbursement charge codes.
On Charge: User need to select the charge code (on amount) on which the commission percentage to
be applied.
Charge Details: User can identify the charges applicable for charter and also they can identify whether
to be calculated on daily or monthly basis along with the currency and Rate.
ROB Details: User can enter the bunker details during on hire and off hire, the following details will be
captured
ROB Type: On hire/Off hire
Oil Type: As defined in the bunker booking
Currency
Quantity
Price
Term: Last purchase/Bunker wise
Invoice date: User can select the next invoice date while creating the agreement. System will keep this
field open until the user perform the charter calculation (once the calculation is done, then this field
will be locked)
Once the above details entered by the users and they can save the details, system will generate an
agreement number. User can modify the agreement details before any calculation is done, otherwise
only limited details can be modified as mentioned above.
6. 2. Charter hire Calculation
Path: Tariff Setup --> Costing Transactions --> Charter Vessel Calculation
System will calculate all applicable charges as defined in the agreements based on the on hire date or
last invoice date. The calculation logic is mentioned below in detail in the annexure.
Use can select the agreement number for which the calculation to be done as shown below,
System will display the Vessel and party details as defined the agreement, user needs to identify the
currency on which the payable invoice to be accounted in the system.
7. User needs to enter calculate to date and press the <Calculate> button, system will calculate all the
applicable charges and display as shown below.
User can verify the charges calculated and press <Post> button in order to post entries to the
respective payable and expense accounts.
8. System will generate an AP voucher as shown above and also print the voucher on line as shown
below with the details
9. Finance JV:
Credit Accounts Payable
Credit Brokerage Payable
Credit Commission Payable
Debit Charter charges Account (As defined in BL Charge linking with multiple GL)
Agreement Query:
User can use the same agreement screen to see all details related to each agreement, user can press
the <Query> button to see the related details as shown below,
10. User can also see all calculation history as shown below, they need to press <Calculation Details>
button and system will display all the charges calculated and accounted as of date.
Email Alert: For the auto alert, the following setup to be done in order to send the auto alert using
Auto email process setup.
11. Annexure:
Agreement:
Daily Hire daily rate is US$7000
Commission daily rate is 2.5%
Brokerage daily rate is 1.25%
Communication monthly rates US$400
Representation monthly rate is US$300,
Lashing Monthly rate is S$200
Compensation daily rate is $US1200 if any
Scenario A: On hire date 01/Jun
On 01/Jun, TSL pay the rental period for 01/Jun ~ 15/Jun
a. Charter rate: US$7000 x15 days
b. Commission: US$7000 x 2.5% x 15 days
c. Brokerage: US$7000 x 1.25% x 15 days
d. Communication: US$400
E. representation: US$300
f. Lashing: US$200
g. Compensation: $US1200*15
Total amount: a-b-c+d+e+f+g (d, e, f only pay in the beginning of each month)
On 16/Jun, TSL pay the rental period for 16/Jun ~ 30/Jun
a. Charter rate: US$7000 x15 days
b. Commission: US$7000 x 2.5% x 15 days
c. Brokerage: US$7000 x 1.25% x 15 days
g. Compensation: $US1200*15
Total amount: a-b-c+g
Scenario B: On hire date 12/Jun
On 30/Jun: TSL pay the rental period for 12/Jun ~ 30/Jun
a. Charter rate: US$7000 x19 days
b. Commission: US$7000 x 2.5% x 19 days
c. Brokerage: US$7000 x 1.25% x 19 days
d. Communication: (US$400*12/365) x 19 days
E. representation: (US$300*12/365) x 19 days
f. Lashing Rate: US$200*12/365) x 19 days
g. Compensation: $US1200*19
Total amount: a-b-c+d+f+g
Note: The deducted brokerage will be transferred to Gal Account, 2 months afterward, TSL Fin will issue AP
brokerage to broker (for this part, just leave it to TSL Fin). Brokerage daily rate: US$7000*1.25%. TSL need to
pay broker till to off hire.
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