Landed costs are the extra charges that arrive with a purchase: freight, customs duty, insurance, handling. If they are not added to the inventory value, margins look better than they are. Odoo's stock_landed_costs module distributes those charges across the products of one or more receipts and posts the valuation entries for you.
Note: this article was written for Odoo 8.0. Menu names have changed in later versions, but the concept and the configuration logic still apply. Ask if you want the current-version equivalent.
1. Install and switch on the options
- Install the module Landed Costs (
stock_landed_costs). - Go to Settings → Configuration → Warehouse and, under Accounting, tick Generate accounting entries per stock movement and Calculate landed costs on products.
- Under Settings → Configuration → Purchases, tick Use "Real price" or "Average" costing methods.
2. Create the landed-cost products
Each kind of charge is a product: Freight, Customs duty, Insurance. Create them from Warehouse → Configuration → Landed Cost Types (or as normal products) and tick Can constitute a landed cost. Pick a default split method for each one: by quantity, by current cost, by weight, by volume, or equal.
3. Prepare the stockable products
- Costing method Real Price on the product variant: landed costs only apply to this method, because the actual cost is stored per quant.
- Inventory valuation Real Time (automated) on the Accounting tab.
- Stock input, stock output and stock valuation accounts set on the product category, so the entries can be posted automatically.
4. Record and apply the costs
- Enter the freight or customs invoice as a normal supplier invoice (or add the line to an existing draft).
- Open Warehouse → Landed Costs → Landed Costs, create a record, select the receipt(s) it belongs to and the journal.
- Add the cost lines (the landed-cost products with their amounts) and press Compute: Odoo fills the valuation adjustments per product according to the split method.
- Validate. The cost moves from the expense account of the landed-cost product to the stock valuation account, and each quant now carries its true unit cost.
The resulting journal is listed under Accounting → Reporting → Journals; filter on the landed-cost journal for a period overview.