Currency Exchange Rates

📌 Overview

Fr8Labs supports multi-currency operations by allowing exchange rates to be stored, applied, and configured dynamically. Exchange rates affect invoices, journal entries, and reporting.

1. Basic Exchange Rate Table (Default Setup)

Basic Exchange Rate Table

In the simplest setup:

• You define a Base Currency → Target Currency pair.

• Each rate has a Valid Date.

• Rates apply from the valid date onwards.

How Valid Dates Work

• When creating an invoice:

  • The system looks at the invoice date.

  • It applies the latest rate available up to that date (forward-looking).

  • Example:

    • A rate is set on 17 Sep.

    • An invoice dated 16 Sep will use the most recent earlier rate.

    • An invoice dated 18 Sep will use the 17 Sep rate (since it is the closest valid date before the invoice).

• When posting a journal entry:

  • The same logic applies: the system uses the latest valid rate on or before the entry date.

  • This ensures journals and invoices stay consistent.

💡 Users can still adjust the rate manually on a transaction if necessary.

2. Currency Rate Types (Advanced Setup)

In more advanced setups:

Advanced Exchange Rate Table (with Currency Rate Types)

• Multiple Currency Rate Types can be defined during onboarding (configured by Fr8Labs).

• Examples include:

  • Middle Rate

  • Selling Rate

  • Selling Rate + CAF3% (markup factor).

Key Features

• Default type: usually one type is set as the system-wide default.

• Partner-specific selection: At the partner level, you can choose which currency rate type applies.

Currency Rate Type Selection on Partner Details

• Markup factors: Adjustments can be applied (e.g. +3% factor for CAF) to customize how rates are calculated.

3. Practical Implications

• Day-to-day invoices → Default rate type applies automatically.

• Special customer/partner cases → You can assign a different currency rate type at partner setup.

• Accounting accuracy → Journal entries always follow the default or assigned type, applying the latest valid date logic.

• Flexibility → Users can override at transaction level if needed.

4. Implementation Notes

• By default, Fr8Labs configures rate types during onboarding.

• Most customers start with one default type (e.g., mid-market).

• Additional types (with markups or adjustments) can be created based on business policy.

• This ensures consistent application across invoices, jobs, and journals.

Please also see: AI Automation: Exchange Rate Updates

Documentation owner: Fr8Labs Customer Success. Formatting reviewed: 21 September 2026; product behaviour not reverified in this formatting pass.