---
title: "How To Guide:  Creating and Reviewing an Agreement"
url: "https://help.psarev.io/en/article/creating-and-reviewing-an-agreement"
language: "en"
last_updated: "2026-11-13T22:30:47.314Z"
---

# How To Guide:  Creating and Reviewing an Agreement

1. Introduction

![1](https://export.supademo.com/renders/445hfdunh6/out.png)

2. From the **Agreements** list, click ***Add Agreement*** to start from scratch, or ***Create from Templat***e to start from a template.

Select the customer and click **Continue**.

You can also start from the **Agreements** tab on a customer's profile, where the customer is already selected.

![2](https://export.supademo.com/renders/5f4p5d0hqn/out.png)

3. If creating from an agreement template, select the template and click **Continue**.

The template's components and rates are filled in on the new agreement for you.

![3](https://export.supademo.com/renders/1ykwyal5hw/out.png)

4. Enter the **Agreement Name** and **Start Date**. Then choose the **Initial Term End**: *None*, *6 months, 1 year, 2 years*, or *Custom*.

Note that the initial term end setting does not stop billing... it is merely informational. It will continue to bill until the agreement expires or you disconnect the service.

![4](https://export.supademo.com/renders/hupscip4gw/out.png)

5. Choose the **Agreement Expiration**. Leave it at *None* to keep the agreement *Evergreen*, or choose a length to make it *Fixed Term*.

When a fixed-term agreement expires without being renewed, the services covered by its components are disconnected automatically.

Evergreen agreements will continue to bill monthly until the recurring service is manually disconnected.

![5](https://export.supademo.com/renders/jg2i7mph0k/out.png)

6. Assign the **Account Manager** and **Owner**.

![6](https://export.supademo.com/renders/b9ezoy4emh/out.png)

7. Turn on **Locked** to protect this agreement from future template or rate changes made in **System Settings**.

The banner at the top of this screen shows the agreement is still linked to its template.

![7](https://export.supademo.com/renders/h6w246k2kq/out.png)

8. The template's components display below that.

Expand a rate to review or change the **Billing Rate, Cost Rate, Included Free Hours,** and **Overage Rules** for this customer if needed.

A rate set here overrides the standard rate from *System Settings*.

![8](https://export.supademo.com/renders/1x876qvrur/out.png)

9. By default, a component applies to all services on the customer. To limit it, click **Add Rule**, choose **Cherry-pick services**, and select services from the list.

You can also click **Add Recurring Service** to create additional recurring services if needed.

![9](https://export.supademo.com/renders/itzzbvvdam/out.png)

10. The selected services display in the rule.

Rules also decide which tickets are added to the agreement automatically if defined by a rule here.

![10](https://export.supademo.com/renders/0p4ue4p5vx/out.png)

11. For a **Time and Materials** component, click **Add Rate**, choose the **Time Log Reason**, and enter the **Rate Name, Billing Rate**, **Cost Rate,** and **Effective Date**. The billing rate starts with the standard rate from *System Settings.*

![11](https://export.supademo.com/renders/1g904no05v/out.png)

12. Click **Add Component** to add another type.

You can only have one of each type of component. If the component type is not available, it is because you already have a component of that type on the agreement.

![12](https://export.supademo.com/renders/0ntbq84dgk/out.png)

13. Select the component type from the list.

One-Time Items can be added only on a customer agreement, not on an agreement emplate.

![13](https://export.supademo.com/renders/1173p9jcih/out.png)

14. For *One-Time* items, name the component and add items using **Add Item** from Catalog. Set the **Quantity, Price,** and **Cost**. A negative price makes the item a credit.

**Bill on Renewal** bills the item again each time the agreement renews.

Turn on **Send items to a ticket on activation** to send the items to a ticket.

![14](https://export.supademo.com/renders/ur17s1aoga/out.png)

15. When you change the template's components or rates, this banner lets you know the agreement will be saved without a link to the template.

Click the **history icon** to revert to the template values.

![15](https://export.supademo.com/renders/538eqt9s87/out.png)

16. Click **Add** to save the agreement as *Pending*, which is helpful if setup isn't finished or the agreement starts later.

Click **Add & Activate** to save it and start billing it right away.

![16](https://export.supademo.com/renders/0h5vj3w6mq/out.png)

17. The **agreement details** screen opens. The header shows the *customer*, *status*, and *duration*. Fixed-term agreements also show a **Renew** button. Use **Edit** to make changes or **Cancel Agreement** to end it.

![17](https://export.supademo.com/renders/0za7bu3t3l/out.png)

18. **Ticket Types** appears only when you edit an agreement. Tickets of the types you select are added to the agreement automatically. Leave it blank to allow tickets of any type.

![18](https://export.supademo.com/renders/u61pi8gmqv/out.png)

19. Once an agreement has activity, these metrics show on every tab: **Monthly Recurring Revenue, Current Period Margin, Active Components**, and **Utilization**, which is the percentage of included block hours used.

![19](https://export.supademo.com/renders/8atnha3vbp/out.png)

20. The **Components** tab shows each component's rates and margin. For **Block Hours**, the **Current Period Usage** bar shows *hours used* and *free hours remaining*. Expand **Overage Pricing** to see the tiers, or **Rate History** to see past rate changes.

![20](https://export.supademo.com/renders/ko2hsu3y07/out.png)

21. The **Profitability** tab shows margin over the current period and a usage bar for each block hour pool.

![21](https://export.supademo.com/renders/23w7jco37y/out.png)

22. The **Component Summary** compares *MRR, margin*, and *utilization* by component.

The **Component Ledger** lists every transaction for each component, including any overage multiplier.

![22](https://export.supademo.com/renders/xspue931cv/out.png)

23. The **Ticket Log** tab lists every ticket on the agreement, with totals for tickets, hours, open, and closed.

If a ticket you expect is missing, check that the agreement's components or ticket types cover it.

![23](https://export.supademo.com/renders/vp6pdn4pmc/out.png)