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Time and Expense

Understand rate calculations in time entry

Determine the rate

In time entry, the
Rates
 dropdown contains all of the rate descriptions assigned to the staff member for which time is being entered. The rate used for the time entry transaction is determined by the client, engagement, staff, and activity.
The following steps are used to determine the rate, in this order.
  1. The application checks the rates that have been set up for the client’s engagement (select
    Setup
    ,
    Clients
    , then the
    Engagements
     tab).
    • If the engagement has
      No Engagement Rate
       selected, the application checks the activity for the rate.
    • If
      Staff Rate
       is selected, the application checks the staff’s rate table for the rate assigned to the engagement. If the staff has that rate assigned, the application uses that rate for the rate calculation. If not, the application checks the activity for the rate.
    • If
      Fixed Rate
       is selected, the application uses the fixed rate you've set up for the engagement.
  2. The application checks the rates that have been set up for the activity (select
    Setup
    ,
    Activities
    , then the
    Main
     tab).
    • If
      No activity rate
       is selected when the activity is set up, the application uses the rate you select for the entry. If you don't select a rate for the entry, the application won't allow you to save the record.
    • If
      Staff rate
       is selected for the activity, the application checks the staff’s rate table. If the staff has that rate set up, the application uses that rate for the rate. If not, the application uses the rate you select for the entry. If you don't select a rate for the entry, the application won' allow you to save the record.

Calculate the amount

The
Amount
 field is a calculated currency field. If you don't have security permission to view WIP amounts, this field is hidden in time and expense entry.
The
Amount
 field is calculated using the following method:
  1. Multiply the hours by the hourly rate. If you're entering time in minutes, the application converts the time to hours.
  2. Multiply by the engagement’s markup / markdown factor (select
    Setup
     then
    Engagement Templates
    ).
  3. If the activity used in the transaction is set up for the amount to be rounded, the application rounds the amount to the nearest dollar using standard rounding. If the activity isn't set up to be rounded, the amount will be rounded to the nearest penny using standard rounding.

This article applies to:

  • Product: Practice CS