A penalty takes points or money away when a chore isn't done in time. It's set per chore, and it's a premium feature.
You need to be a Household Manager.
The hint under the field says when the chore counts as missed.
Penalties can't be set on rotating chores, or on chores nobody is assigned to.
To set a window, see How to set a time window for a chore.
"Finished" means every task is checked off, and the photo is added if one is required.
A penalty only counts days after you set it. If you change the penalty, the schedule, the people, the tasks, the time window or the photo rule, it starts again from that moment. Nobody is charged for days before a change.
Chore Boss adds a penalty the next time a phone in your home updates after the chore was missed, for example when someone opens the app. Misses older than a week aren't charged.
The penalty shows in Recent Activity on their rewards as "Missed:" and the chore name. Kids also get a notification on their phone.
A balance can go below zero. It shows in red, and there's nothing to pay out until it's back above zero.
If a kid finishes a missed chore late (only possible without a time window), they still earn its reward, but the penalty stays.
You need to be a Household Manager.
The points or money are given back, and that day is never charged again.