Labour Charge-out Rates for Cost Plus Contracts

Setting up labour charge-out rates for your Project.

Overview

Charge-out Rates for User Groups

Labour Charges for your Claim

Overview

When your Head Contract is agreed on a Cost Plus basis, you can set up the charge-out rate for labour costs, so that a pre-determined rate per Time sheet User Group is used, rather than a margin percentage of the payment rate for your staff.

These rates are set up on the Head Contract > Details.

When you have set up hourly rates, these rates will appear in the spent costs when you are making a Claim in your Head Contract. You can set up different charge-out rates for different Time Sheet User Group. When Time Sheets are submitted, the hours worked will be transferred to the Head Contract to be included in the Claim. The transfer occurs when Time sheet entries are submitted.

It would not normally be necessary to do this for a Fixed Price contract, as all costs are agreed in advance.

To read more details about setting up Project specific rates for User Groups and for individual Users, refer to Project-Specific Charge Out Rates for User Groups and Users.

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Charge-out Rates for User Groups

You can set up charge-out rates for different Time Sheet User Groups.

• From the Payment Claims > Head Contract menu, select the Head Contract that you want to edit and click to the Details tab.
• In the Details screen, scroll down and click Charge out rate.

In the Charge Out Rate screen on the User Group Rates tab:

• Click Create new rate.

In the Edit Charge Out Rate window:

• Select the Time sheet user group that you wish to add a charge-out rate for.

• Agreed rate: Enter the agreed hourly rate to be charged for this User Group.

• Click Save and Close.

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Labour Charges for your Claim

Labour charges will be transferred from the Time sheet module when the time sheet entries have been submitted. The transfer of hours worked depends on your Cost Codes matching from the Time Sheet entry screen to the Trade Summary line for labour in your Head Contract.

This screen is taken from the Head Contract > Trade Summary for labour.

In this example, we have entered 32 hours of time worked on the Project. The pay rate is $30 per hour, and the agreed charge-out rate is $75 per hour.

• The Total Cost Code spent shows $960 (32 hours x $30).
• The Chargeable labour shows $2240 (32 hours x $75).

Now you can complete your claim line and continue with your Claim for the date range.

You may also have other costs associated with labour, in which case the field for Other Costs will display these amounts.

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Last updated: 17 July 2024