Setup Information Tab

Use this tab to specify billing formula and retainage information, the format, and various processing parameters.

Billing Formula

Enter, or click to select, the billing formula that applies to this project. This billing formula is used to calculate the bill for the project. Refer to special topic "Calculate Bills" for information on how each of the different formulas calculates bills.

There are two types of billings, transaction-based and manual. A transaction-based billing formula is generally based on the transactions that have been charged to the project. The Open Billing Detail table stores the transactional data that is used in the computation of the invoice. This data remains in the Open Billing Detail table until you post the bill. A manual billing is one that does not rely on transactions that have been posted to the project.

Billing rates are an integral part of the billing calculation. For more information on billing rates, see the documentation for the Link Project Labor Category Rates to Projects screen.

The following is a list of the available billing formulas:

• Cost Incurred Plus Fee On Cost: This transaction-based formula summarizes the costs incurred by a project and applies burden and fee to those costs. When you calculate bills, the application uses the transactions in the Open Billing Detail table to calculate the invoice. It calculates the burden using the provisional rates on the Pool Rates subtask of the Manage Cost Pools screen. The fee is calculated by applying the fee percent entered in this screen to the total of the costs and burden.
• Cost Incurred Plus Fee On Hours: This transaction-based formula summarizes the costs incurred by a project and applies burden and fee to those costs. When you calculate bills, the application uses the transactions in the Open Billing Detail table to calculate the invoice. It calculates the burden using the provisional rates on the Pool Rates subtask of the Cost Pools screen. It calculates the fee by summarizing the hours incurred in the Open Billing Detail screen and applying the fee per hour entered in this screen.
• Enter Bill Manually: Use this formula if you plan to use the Manage Project Product Bills, Manage Manual Bills, or Manage Milestone Percent Complete Bills screens to enter your billings. You must set up a record in this screen so that Costpoint recognizes the project as billable. Costpoint cannot calculate the invoice automatically if you use this formula. If you need to use the Pay When Paid functionality, should select the Manual Bills with Unbilled Detail formula.
• LLR W/Fee Plus Non-Labor W/Burden W/Fee: Use this formula to bill hours incurred times a billable rate with a fee on that amount plus non-labor costs and fee on non-labor costs. This is a transaction-based formula. The hours incurred, associated billing rates, and non-labor costs are taken from the Open Billing Detail table. You must run the Load Labor Rates screen before the bill calculates properly. The fee percents are taken from the Labor Fee Percent and Non-Labor Fee Percent fields in this screen. (These fields appear below the Formula drop-down list when you select this billing formula.)
• Labor Cost Times Multiplier Plus Non-Labor Times Multiplier (Cost): Use this formula to bill costs incurred times a multiplier. This is a transaction-based formula. The Labor and Non-labor cost amounts are taken from the Open Billing Detail table. The cost amounts are multiplied by the Labor Multiplier and Non-Labor Multiplier entered in this screen. (These fields appear below the Formula drop-down list when you select this billing formula.)
• Labor Cost times Multiplier Plus Non-Labor times Multiplier (Hours): Use this formula to have a multiplier-based billing computed at actual labor rates. This is a transaction-based billing. It is different from the Labor Cost Times Multiplier Plus Non-Labor Times Multiplier (Cost) formula because it computes using actual hourly rates. Costpoint calculates the actual hourly rate by dividing the labor cost by the hours incurred. Costpoint inserts this rate into Open Billing Detail when you run the Load Labor Rates screen. This rate is then multiplied by the multiplier in this screen and then by the number of hours in Open Billing Detail. The purpose of this formula is to show a multiplier billing with an hours-based format.
• Loaded Labor Plus Non-labor Plus Burden On Non-labor: Use this formula to bill hours incurred times a billable rate and burdened non-labor costs. This is a transaction-based billing. The hours incurred, non-labor costs, and the billing rate are stored in the Open Billing Detail table. The provisional burden rate is stored on the Pool Rates subtask of the Manage Cost Pools screen.
• Loaded Labor Plus Non-labor W/Burden W/Fee: Use this formula to bill hours incurred times a billable rate and burdened non-labor costs with a fixed fee. This is a transaction-based billing. The hours incurred, non-labor costs, and the billing rate are stored in the Open Billing Detail table. The provisional burden rate is stored on the Pool Rates subtask of the Manage Cost Pools screen. You enter the fee that is applied to the non-labor costs in this screen.
• Loaded Labor Rate: Use this formula to bill hours incurred times a billable rate. This is a transaction-based billing. The hours incurred and the billing rate are stored in the Open Billing Detail table. No non-labor costs are billed and no fee or burden is applied when you use this formula.
• Loaded Labor Rate Plus Cost Incurred On Non-labor (T&M): Use this formula to bill hours incurred times a billable rate and non-labor costs at actual. This is a transaction-based billing. The hours incurred, non-labor costs, and the billing rate used in the calculation are stored in the Open Billing Detail table. This formula is a standard Time and Materials billing.
• Loaded Labor w/Burden w/Fee Plus Non-labor w/Burden W/Fee: Use this formula to bill hours incurred times a billable rate with fee and burden, and non-labor costs with fee and burden. This is a transaction-based billing. The hours incurred, non-labor costs, and the billing rate used in the calculation are stored in the Open Billing Detail table. The provisional burden rate is stored on the Pool Rates subtask of the Manage Cost Pools screen. You enter the fee used in the calculation in this screen.
• Manual Bills with Unbilled Detail: Use this formula if you plan to enter bills on the Manage Project Product Bills, Manage Manual Bills, or Manage Milestone/Percent Complete Bills screens but wish to use the Pay When Paid functionality. The Pay When Paid functionality restricts payment to subcontractors or consultants until you have billed your customer and have been paid. The Pay When Paid functionality does not work for fixed-price billings unless you select this formula. If you use this formula, Costpoint populates the Open Billing Detail table when you post transactions. After the bill is posted, the transactions are moved to a transaction history table where they can be flagged as paid or unpaid. No automatic billing calculations are available with this formula.
• Progress Payment: Use this formula to bill using Government Form 1443. If you select this formula, the calculated bill is on the Manage Progress Payment Bills screen and you can print the bill from the Print Progress Payment Bills screen. This is a transaction-based bill. It uses data from the Manage Open Billing Detail screen. See special topic "Progress Payment Bills" for more information.
• Rate Schedule Times Multiplier Plus Non-Labor Cost Times Multiplier: Use this formula to bill hours using a variety of billing rates types. With this formula, you must use PLCs with all labor transactions. This is a transaction-based formula. You can set up each PLC to use rate types of B, A, or C. This formula effectively allows the labor portion of the billing to be calculated according to who or what group of employees is charging it. The Include Labor Multiplier in Billing Rate check box is available with this formula. Select this check box to allow the labor multiplier to be calculated in addition to the billing rate. The non-labor section is always computed using a multiplier.
• Unit Price Transactions Only: Use this billing formula to bill only unit transactions. Selecting this formula prevents transactions that are posted from Accounts Payable, Journal Entries, and Labor Distribution from populating the Open Billing Detail table. If you select this formula, Open Billing Detail is populated only if you select the Post to Billings check box on the Manage Unit Usage screen. See special topic "Units" for more information on billing units. You should also use this formula if you wish to produce only scheduled bills.

Field	Description
Billing Parameter 1 & 2	These fields are disabled unless the selected billing formula requires additional information, such as a fee percentage, fee per hour, or multiplier rate. Enter the fee or rate for the billing formula here. The titles of these fields change, depending on the billing formula chosen.
Include Labor Multiplier in Billing Rate	This check box is enabled only for billing rates that use a multiplier. When you select this check box, the rate you have entered in this group box as a labor multiplier is included in the hourly billing rate. This check box is available only if you select Labor Cost times Multiplier Plus Non-Labor Times Multiplier (Hours) or Rate Schedule Times Multiplier Plus Non-Labor Cost Times Multiplier for your billing formula.
Final Billing Completed	Select this check box to mark this project as "final billed." Costpoint will not include this project in calculating standard and/or retroactive bills unless you select the Projects with "Final Billing Completed" checked check box on the Calculate Standard Bills screen and/or the Include Projects with "Final Billing Completed" checked check box on the Calculate Retroactive Bills screen.

Retainage

Use the fields in this group box to specify how retainage amounts, or withholding amounts are calculated for this project's billings.

This group box is disabled if the billing formula used for the project is Progress Payment.

Field	Description
Basis For Calculation	Use the drop-down list to select the basis for Costpoint-calculated retainage. It can be based on the total bill amount, the fee amount, or the T&M labor portion of the billing. Valid options are: None Fee Amount T&M Labor Only Total Bill Amt Select None if you do not want retainage for this project's billings.
Withhold On	Use this drop-down list to calculate the retainage for each billing or as a final amount. Valid options are: Each Final Based On Contract Value Final Based On Funded Value If you select either Final Based On Funded Value or Final Based on Contract Value, Costpoint calculates the bill and then applies the billing amount to retainage, after the amount billed exceeds the contract value less the retainage amount (retainage amount = retainage percentage multiplied by the contract value) When you post this bill, it changes the unbilled from general to retainage. If you select Final Based on Funded Value or Final Based on Contract Value, you must designate a fee ceiling of B (Billings) or A (Both Revenue and Billings) in the Value Info group box on the Manage Total Ceilings screen. Without the billing ceilings, Costpoint is unable to calculate retainage on a Final Amount basis. Note: The application does not calculate the retainage on a final bill if the retainage is based on the T&M labor portion of the billing.
Percentage	If Costpoint has been set up to calculate retainage amounts, enter the percentage to use for retainage amounts calculation.
Maximum Amount (Functional Currency)	Enter the maximum amount or ceiling, in functional currency, of the retainage that can be withheld.
Maximum Amount (Billing Currency)	Enter the maximum amount or ceiling, in billing currency, of the retainage that can be withheld. This field is enabled only if you are licensed for multicurrency, and is editable if it is not the same as your company's functional currency. If the functional and billing currencies are the same, this field displays 0.00.

Format

Use this group box to select the billing format for this project. You must select a format before you can save a record.

Field	Description
Generic Billing Format	Select this option to use one of your user-defined generic billing formats. In the blank field to the right, enter the generic billing format code that you want to use to determine what the billing format looks like for this bill. You can set up these formats on the Manage Generic Billing Formats screen.
Govt 1443 Billing Format	Select this option to use the Government 1443 (progress payment) billing format.
Govt 1035 Billing Format	Select this option to print a standard Form 1035 bill for this project. 1035 bills use the account number to determine how to group costs for billing purposes. Pools are displayed separately.

Government 1035 Format Information

Use this group box to determine the level at which to roll up the account and whether the billing format is T&M or Cost Plus.

Field	Description
Print Cost Plus or Fixed Price Format	Select this option to print a Cost Plus 1035 billing format.
Print Using T&M Format	Select this option to print a T&M billing format.
Roll Up Accounts To Level _____	Enter the account level at which to roll up the costs for printing purposes.
Supporting Schedule Format	Enter the supporting schedule format code, if any, for the detail supporting schedules you want to print for this project's billings. You can set up these user-defined formats on the Manage Supporting Schedule Formats screen.

Controls

Use this group box to select parameters for the computation and processing of the bills for this project. The options selected here apply only to this project.  

Field	Description
Allow Transactions To Be Partially Billed	Use this check box to regulate the billing of partial transactions. If you select this check box, partial transaction billing is allowed. If you do not select this check box, no partial transactions are allowed. Partial transactions may exist due to a direct cost ceiling or on-hold amounts. For example, if you post a transaction to Open Billing Detail for $1000 and $400 is put on hold, a partial transaction exists in that record. The $600 that is not on hold is included in the bill only if this check box is selected. Also, if a direct cost ceiling of $200 is put on an account and the only transaction posted to that account is $1000, the $200 under the cost ceiling is included in the bill only if this check box is selected because the $200 is part of the whole transaction of $1000. If items have been partially billed, they appear more than once on supporting schedules (once for each partial billing). To avoid confusion, remind customers of this possible duplication.
Allow User to Edit Bills	If you select this check box, you can use the Manage Standard Bills screen to modify bills generated by Costpoint. By doing so, you can alter some of the amounts that Costpoint has calculated for the billings. When you post the bills, these amounts are also posted to history for future reference. If this check box is not selected, you cannot modify bills for this project on the Manage Standard Bills screen. The best method of changing incorrect amounts on an invoice is to make the correction using the same source as the original transaction. For example, if an incorrect PLC is used on a project, you should correct it using a correcting timesheet. The Adjust Open Billing Detail Records screen also provides an efficient way to correct a billing. Modifying the bill on the Manage Standard Bills screen causes a discrepancy between the bill and the source transactions.
Bill Cost Incurred on Cash Basis	If you select this check box, Costpoint bills items from Costpoint Accounts Payable only if they have been paid. Transactions from Labor, Journal Entries, or Units Usage are billed automatically regardless of their payment status. Please note that accounts must be flagged as cash basis accounts on the Manage Billing Accounts screen before you can select this check box to bill on a cash basis. You can also set up cash basis accounts by project on the Cash Basis subtask of this screen. After posting transactions to the project, you also need to run the Update Cash Basis Information screen before a cash basis bill can be calculated. This check box is also used by the government 1443 bills to determine whether the bill should be calculated using "small-" or "large-business" calculations. Select this check box to compute the bill using "large-business" calculations, and use a cash basis billing. Clear this check box to compute the bill using "small-business" calculations, and do not use a cash basis billing. For more information about cash basis billing, see the "Create a Cash Basis Billing" topic.
Allow User to Adjust Transactions in Open Billing Detail	Use this check box to control the use of the Adjust Open Billing Detail Records screen. If you select this check box, users can transfer, write off, or put transactions on hold using the Adjust Open Billing Detail Records utility. Journal Entries can be automatically created to record the adjustments. Clear this check box to have users use original entry sources to make corrections to billings.
Customer Terms	Enter, or click to select, a terms code for this project. You can set up terms on the Manage Customer Terms screen.
Billing Cycle	If the Use Billing Cycles check box is selected and a default cycle is entered on the Configure Billing Settings screen, the default cycle appears in this field. You can enter a code or override the default code by selecting another valid billing cycle code. Costpoint uses this code when you calculate, modify, print, and post bills. If you are not using billing cycles, this field is unavailable. You can set up billing cycles on the Manage Billing Cycles screen. If the Use Billing Cycles check box is selected on the Configure Billing Settings screen, this is a required field.
Remittance Address	Enter, or click to select, a remittance address code for this project. This remittance address are printed on the top of the invoice. You can enter remittance addresses on the Manage Remittance Addresses screen.
Billing User Group	If you selected the Assign Bills to User Groups check box on the Configure Billing Settings screen, enter, or click to select, a valid user group code. Costpoint uses this code when you calculate, modify, print, and post bills. If you are not using billing user groups, this field is unavailable. If you selected the Assign Bills to User Groups check box on the Configure Billing Settings screen, this field is required. You can set up user groups on the Manage Billing User Groups screen.
Income State	Enter, or click to select, the state code that is identified with the project for tax purposes. You can enter state codes on the Manage States and Provinces screen.
Last Bill Number	If you selected the Enable Project Specific Bill Numbering check box on the Configure Billing Settings screen, enter the last bill number used by this project. This is an alphanumeric field. When the next bill is calculated, this number is incremented by one. You should end the last bill number entered here with at least three numeric characters so that Costpoint has at least 999 bill numbers to use. Refer to the documentation for the Last Company Wide Invoice No check box on the Configure Billing Settings screen for more information on how Costpoint increments bill numbers.