Stage fee types

Each stage of the project has a fee type assigned. The fee type is used to control the invoicing or billing method for the stage.

What are fee types?

Each project stage can have the invoicing method setup using the 'fee type'. Based on the fee type selected other fields of information will become mandatory to be entered for each stage. The fee types are:

  • Fixed fee - define the total fee value to be invoiced to the client. Transactions are not required from timesheets or expenses to invoice the client. A lump sum invoice can be created for this type to pre-bill the client for project works.
  • Percent of contract - the stage fee value is calculated as a percentage of the total contract value. Transactions are not required from timesheets or expenses to invoice the client. A lump sum invoice can be created for this type to pre-bill the client for project works.
  • Hourly rates - the client is billed the hours the staff have worked, or the cost of the expenses incurred (plus any mark ups applied). This is invoiced by default to the client at the rate value. There is no limit to the value that can be invoiced to the client with this invoicing method. Transactions from staff timesheets or expenses must exist before an invoice can be created.
  • Capped rates - the client is invoiced up to a defined maximum value for the hours staff have worked, or the cost of the expenses incurred. . Transactions from staff timesheets or expenses must exist before an invoice can be created.
  • No billing - no invoices can be created for this stage. Any non-billable project stages have this fee type applied by default. All transactions assigned to a stage with this fee type are automatically written off.

Tip: The advanced work breakdown structure must be enabled for the project before you can select a fee type against a stage.

Why use fee types?

Setup the billing method for each project stage, and set the agreed fee value to be invoiced to the client.

Fee types overview

  Fixed fee Percent of project Capped rates Hourly rates No billing
Set and agreed fee total value Y Y Y N N
Maximum fee limit Y Y Y N N
Transactions required to invoice N N Y Y N
Change the transaction hours / rate on invoices N N Y Y N
Enter budgets Y Y Y Y Y
Change to this fee type allow once invoices exist Y Y Y Y N

Actions available

When you convert the project to have an advanced work breakdown structure you will see that the simple project that previously existed had created a stage with the fee type of fixed fee is applied, and the project fee is defined against that stage. Update the fee type on the default stage, or change the fee type to an alternate method.

The advanced work breakdown structure must be enabled for the project before you can select a fee type against a stage.

Want to learn more?

Want to know more? Try reviewing the following topics: Concept Link IconView topics