How to book loss against project

[former_member614665]

Hello,

Need to know how the losses is been settle for project or workpackage?

Scenario:

For a particular work package, the total billable hours is 100 hrs. But say, client has approved billable 80 hrs. 

So how the remaining 20 hrs is being adjust. In the project ?

Kindly guide me on the same.

Thanks & Regards 

[former_member306668 · Accepted solution]

Wouldn't you just write off the 20 hours via the Release Billing Proposal app?

[former_member614665 · Accepted solution]

Hi Ana,

So, how to handle losses for Periodic and Fixed Price.

Regards,

Mayur

[ana_goncalves · Accepted solution]

Hi Mayur,

From what I can see in your screenshot, you're trying to bill a Periodic Service item. The write-off function is not enabled for billing proposal items of type Fixed Price and Periodic Service. For these types, the amount to be billed is fixed and, therefore, does not depend directly on time posted to the project. The scenario you describe in your question seems more fit for Time and Expense projects and, in that case, borntosucceed's suggestion would be the way to go.

Kind regards,

Ana

[former_member614665 · Accepted solution]

Hi Thomas,

Am i suppose to use App:Release Billing Proposal to enter the write-off quantity or amount ?

If yes, the write-off field is grey out for me.

Kindly help me for the same.

Thanks & Regards,

Mayur

[ana_goncalves · Accepted solution]

Hi Mayur,

After a brief discussion with another colleague (thank you for your insights tobschmi74!), the requirement here is not very clear in the context of Periodic Service and Fixed Price. For these contract types, you would typically agree on a certain amount (€) and not on hours. It is then up to the project team to deliver the work within a minimum amount of time to keep the costs as low as possible. In this case the customer doesn’t care about the hours that were needed to deliver the service and we don’t see any reason why they should not accept hours, as there's no impact on the agreed contract amount.

Kind regards,

Ana