When you run jobs in a currency other than your local currency in Business Central, you control the setup through the Foreign Trade tab on the job card. Set the Currency Code field to handle the entire job, including planning and invoicing, in a foreign currency. Set the Invoice Currency Code to invoice the customer in their own currency while you still run the job in your local currency.
You cannot change the Currency Code on a job after you have started posting entries to it. Decide on the currency before you begin.
The exchange rate calculation fields for cost and price determine how the system reacts when exchange rates change. Choose Fixed LCY to keep the local currency amount constant. Choose Fixed FCY to keep the foreign currency amount constant.
If you have agreed a price of, for example, USD 1,000 with your customer, set the price calculation to Fixed FCY. That keeps the agreed amount unchanged, so you invoice the customer exactly the USD 1,000 you agreed on.
Setting up a job in foreign currency on the job card
On the job card, under the Foreign Trade tab, you have four fields to work with. Two of them are the Currency Code and the Invoice Currency Code. If you use your local currency, both of these stay blank.
The Currency Code field is blank by default on a new job. If you enter a foreign currency code here, the whole job is handled in that currency. That covers both planning and invoicing.
Be aware that you cannot change the Currency Code after you have started posting entries to the job. Make this decision up front.
Using the invoice currency code for foreign customers
The Invoice Currency Code can be set separately. In a typical example, this field is set to US Dollars because the customer is a US customer, and the value comes from the setup on the customer.
This gives you a common and practical setup. You handle the job itself in your local currency, but you invoice the customer in US Dollars from the same job. That way the customer always gets invoiced in the correct currency.
Exchange rate calculation for cost and price
To the right on the Foreign Trade tab you have two fields for exchange rate calculation. One is for cost, the other is for price. Both fields offer the same two options: Fixed FCY and Fixed LCY. FCY stands for foreign currency, and LCY stands for local currency.
These fields decide how the system handles changes in exchange rates, which makes them important to get right.
The exchange rate calculation for cost specifies how job costs are calculated. The recalculation happens if you change the currency date or the currency code fields on a job planning line, or if you run the Change Job Planning Line Dates batch job.
If you choose Fixed LCY for cost, the job cost in local currency stays fixed. Any change in the exchange rate then changes the value of the job cost in the foreign currency. If you choose Fixed FCY, the job cost in foreign currency stays fixed, and a change in the exchange rate changes the value of the job cost in local currency.
The same logic applies to price. The exchange rate calculation for price specifies how job sales prices are calculated when you change the currency date or the currency code fields on the planning line, or when you run the Change Job Planning Line Dates batch job. This directly affects the invoice you send to your customer.
Choosing Fixed FCY to keep the agreed price constant
If you have agreed a price of USD 1,000 with the customer, keep the price setup as Fixed FCY. The amount of USD 1,000 then stays unchanged, and any change in the exchange rate changes the value of the job price in your local currency. This makes sure the agreed amount stays constant, so the USD 1,000 you agreed is also what you invoice.
If you instead want to keep the local currency fixed, choose Fixed LCY. The job price in local currency then stays fixed, and any change in the exchange rate changes the value of the job price in the foreign currency.
Quick overview of Fixed LCY and Fixed FCY
With the Fixed LCY option, a change in the exchange rate keeps the Amount (LCY) field constant, while the Amount field changes in line with the exchange rate.
With the Fixed FCY option, the Amount (LCY) field changes in line with the exchange rate, while the Amount field stays constant. This is the option you use when you want the agreed foreign currency amount, such as the USD 1,000, to remain the amount you invoice.
Q&A
Can I change the currency code on a job after I have started posting?
No. You cannot change the Currency Code on a job once you have started posting entries to it. Set the currency before you begin posting.
How do I run a job in my local currency but invoice the customer in another currency?
Leave the Currency Code blank so the job runs in your local currency, and set the Invoice Currency Code to the customer’s currency. This value can come from the setup on the customer. The job is then handled in local currency while the customer is invoiced in their own currency.
What is the difference between Fixed FCY and Fixed LCY?
Fixed FCY keeps the foreign currency amount constant, so a change in the exchange rate changes the local currency value. Fixed LCY keeps the local currency amount constant, so a change in the exchange rate changes the foreign currency value.
Which option should I use to keep an agreed foreign currency price constant?
Use Fixed FCY for price. If you agreed USD 1,000 with the customer, Fixed FCY keeps that amount unchanged, so you invoice the customer exactly the amount you agreed.
When does Business Central recalculate job costs and prices for currency?
Recalculation happens when you change the currency date or the currency code fields on a job planning line, or when you run the Change Job Planning Line Dates batch job.