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A recognition rule determines how an invoice line item’s amount is spread into revenue rows. The rule is configured per plan item (planItem.config.revenueRule) and applied automatically during generation.

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immediate

The full line-item amount is recognized in the invoice month.
Example: a 1,200lineitemonaninvoicedated15Mar→onerevenuerowof∗∗1,200 line item on an invoice dated 15 Mar → one revenue row of **1,200** for March.

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proportionate

The amount is recognized straight-line by day across the line item’s service period (fromDate → toDate). Partial start/end months are prorated by the number of days that fall in each month. Revenue is never recognized before the invoice date — any portion that would land in a month earlier than the invoice date is carried forward into the invoice month.
Example: a 1,200lineitemfor1Jan–31Dec(dailyrate≈1,200 line item for 1 Jan–31 Dec (daily rate ≈ 3.29) → ~102per31−daymonth, 102 per 31-day month, ~99 for 30-day months, invoiced in January. If the invoice were dated in March, Jan+Feb amounts fold into March.

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milestones

Revenue is recognized against completed revenue_trigger milestones on the contract plan item. Each completed milestone recognizes: 
amount × (milestone.percentage_of_revenue / 100)
in the month of the milestone’s actual completion date. Milestones that are not yet complete recognize nothing; if there are no milestones, no revenue is generated until one completes.
Example: a 1,000lineitemwithmilestones40(completedMay)→∗∗1,000 line item with milestones 40% (completed Feb) and 60% (completed May) → **400** in February and $600 in May.

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Deferring recognition

A line item whose amount is not yet recognized by any rule remains deferred — it shows up in the Deferred report as invoice value not yet recognized, and can be recognized later manually or via deferred revenue.