---
title: Configure rate card expense generation
description: After assets or users are added to the rate card, you can use the Distribute cost field in the Financial section of the contract to generate rate card expenses.
locale: en-US
canonical_url: https://www.servicenow.com/docs/r/australia/it-service-management/contract-management/t\_Step3ConfigRCExpenseGen.html
release: australia
product: Contract Management
classification: contract-management
topic_type: task
last_updated: "2026-03-12"
reading_time_minutes: 2
breadcrumb: [Generating expense lines based on assets or users, Create a contract rate card, Contracts, Contract Management use, Contract Management, Asset Management common applications, IT Service Management]
---

# Configure rate card expense generation

After assets or users are added to the rate card, you can use the **Distribute cost** field in the Financial section of the contract to generate rate card expenses.

## Before you begin

Role required: financial\_mgmt\_user, asset, or contract\_manager

## Procedure

1.  Navigate to **Contract** > **Contracts** > **All**.

2.  Select the contract to generate expenses.

3.  In the **Contract Rate Card** related list, select a rate card.

4.  In **Distribute cost**, select one of the following options to distribute the amount listed in **Base cost**.

<table id="choicetable_wxv_wxp_35"><tbody><tr><td id="d188205e99">

**Split expense lines evenly across assets**

</td><td>

Select **Allocate and distribute cost per asset**.For example, with a $100 **Base cost** and two assets, two expense lines for $50 are created.

</td></tr><tr><td id="d188205e117">

**Split expense lines across assets based on asset value**

</td><td>

Select **Allocate and distribute cost based on value:**.The **Value** field displays with **Cost** and **Residual Cost** options. The cost is derived from the **Cost** or **Residual Cost** field on an asset record. If there are multiple assets on the rate card, the cost or residual cost is distributed based on the value of the assets.

 For example, if you select the **Cost** option with a $100.00 **Base cost**, one asset worth $70, and one asset worth $30, two expense lines are created, one for $70 and one for $30.

</td></tr><tr><td id="d188205e156">

**Split expense lines evenly across users**

</td><td>

Select **Allocate and distribute cost per user**.For example, with a $100 **Base cost** and two users on the contract, two expense lines for $50 are created.

</td></tr><tr><td id="d188205e174">

**Allocate the cost to the contract instead of the individual assets**

</td><td>

Select **Allocate cost to contract**.

</td></tr></tbody>
</table>5.  Select **Update**.

    Expense lines are automatically generated by a scheduled job for costs incurred between the rate card **Start date** and **End date**. The scheduled job, **Process FM Costs**, runs on the Contract \[ast\_contract\] table once per day. This scheduled job runs forward and generates additional records from the Next Process \[next\_process\] time. Expense lines are only generated from contracts with the **Active** or **Expired** state. You may want to generate expense lines for expired contracts to track previous expenses.


**Parent Topic:**[Generating expense lines based on assets or users](https://raw.githubusercontent.com/ServiceNow/ServiceNowDocs/australia/markdown/australia/it-service-management/contract-management/t_GenExpnsLinOnAssetsUsers.md)

**Previous topic:**[Create a rate card and assign a user or asset](https://raw.githubusercontent.com/ServiceNow/ServiceNowDocs/australia/markdown/australia/it-service-management/contract-management/t_Step2CreatRCAsgnUseAsset.md)

**Next topic:**[View contract expense lines](https://raw.githubusercontent.com/ServiceNow/ServiceNowDocs/australia/markdown/australia/it-service-management/contract-management/t_ViewingContractExpenseLines.md)

**Related topics**  


[Contract life cycle](https://raw.githubusercontent.com/ServiceNow/ServiceNowDocs/australia/markdown/australia/it-service-management/contract-management/c_ContractLifeCycle.md)