The setup is easy but might take a bit of digging into your file cabinets. The reward is a game-changer, as you could finally find the jobs that are losing money.
Let's make sure we are speaking the same language. These are the terms we will use:
Labor Overhead % - multiplier on payrates for other expected costs directly associated with labor (ex. taxes, workers comp, benefits). Tax burden.
Loaded Payrate – a person’s hourly rate inclusive of labor overhead costs. Payrate + (payrate * Labor Overhead%)
Revenue - the total amount of money your customer will you pay for the job. Job contracted amount.
Revenue Overhead % - expected multiplier on other costs besides labor (ex. franchise fees, supplies).
When editing an existing job for the budget information: Select the Job > click on the Budget tab > click the 'Edit the Budget' link.
Once in the Edit Budget screen you can change Total Revenue, Total Job Hours, Average Base pay rate, Labor Overhead %, and Revenue Overhead %. Even if you take a guess, remember, you can change it.
This is the amazing part. There is no spreadsheet to upkeep. The budget is calculated with expected Gross Profit.
And it is re-calculated with each new time card. Can I repeat this very good news - no spreadsheets to upkeep.
Check out our Help Center for answers to other common questions😎.