---
title: "What does the total agreement price (TAP) mean when setting up pricing for a service agreement, and does it apply per quarter?"
slug: "what-does-the-total-agreement-price-mean-when-setting-up"
updated: 2026-10-15T01:27:29Z
published: 2026-10-15T01:27:29Z
canonical: "help.servicetitan.com/what-does-the-total-agreement-price-mean-when-setting-up"
---

> ## Documentation Index
> Fetch the complete documentation index at: https://help.servicetitan.com/llms.txt
> Use this file to discover all available pages before exploring further.

# What does the total agreement price (TAP) mean when setting up pricing for a service agreement, and does it apply per quarter?

## Problem

When setting up a service agreement, you may wonder if the total agreement price (TAP) applies per quarter.

## Solution

The total agreement price (TAP) is the price for the entire agreement term, not the amount billed each period. Your billing schedule determines how that total is divided into invoices. For example, a $1,000 agreement billed quarterly is invoiced as four payments of $250 each—not $1,000 per quarter. Selecting the billing schedule sets how the total is Split across invoices.

To apply the total agreement price (TAP) amount quarterly, you need to set the *Billing Schedule* as **Quarterly**, or select **Time of Service**, and make sure to include four visits for the service agreement.

### Set the service agreement billing schedule

1. Go to the customer profile.
2. Go to the *Service Agreements* tab.
3. Click **Create Service Agreements** or edit a service agreement that is in *Draft* status.
4. In *Step 5: Pricing*, enter the **Total Agreement Price**.
5. Move forward to *Step 6: Billing Schedule and Payment Terms*.
6. Based on the *Billing Schedule* that you select:
  - **Time of Service:** An invoice is generated at the time of each visit.
  - **Upfront:** One invoice for the total agreement price.
  - **Biannual:** 2 invoices per year.
  - **Quarterly:** 4 invoices per year.
  - **Every Other Month:** 6 invoices per year.
  - **Monthly:** 12 invoices per year.

### Make the billing schedule clear on the agreement document

A document that shows only the total agreement price (TAP) can leave your customer unsure how they'll be billed—for example, whether $1,000 is a one-time charge, an annual total, or a per-quarter amount. To remove that ambiguity, add the *Billing Schedule* component to your service agreement document template. It shows the exact schedule of invoice dates and amounts, so the customer can see precisely when and how much they'll be billed.

> [!TIP]
> **Tip:** Because the *Billing Schedule* component shows the full per-invoice breakdown, you can remove the Pricing component (which shows the lump-sum TAP) from your template, if you prefer. This leaves only the billing schedule table on the document, so customers see the payment schedule rather than a single large total. For more, see [Create document templates for service agreements with Template Manager](/construction/docs/create-document-template-for-service-agreements-with-template-manager).

> [!NOTE]
> **Note:** If you have the *Edit duration and billing schedule* permission, you can also change the billing schedule on an active agreement after creation, using **Edit Duration and Billing Schedule**. You don't have to set the final cadence during creation. For more, see [Manage service agreement billing and invoices](/construction/docs/manage-service-agreement-billing-and-invoices).

Split determines how much credit each technician is getting for the job. For example: If two technicians perform work on a job, the split could be an even 50%-50%, or it could be 75%-25% if the first technician did a bulk of the work. By default 100% of the technician split will go to the first technician assigned to the job.

[Learn more →](https://help.servicetitan.com/docs/servicetitan-glossary) · [See the full glossary →](https://help.servicetitan.com/docs/glossary-overview)