Intercompany Billing Rate Settings for Journal Entries

When you process intercompany billing, the rate methods and related information that Vantagepoint uses to calculate the journal entries for the transactions can come from several sources.

These sources include:

• Accounting tab of the Projects form in the Projects hub
• Intercompany Billing Setup form
• Intercompany Billing tab of the Individual Organization Setup form

The remainder of this topic describes how Vantagepoint determines which rate method and multiplier to use for each type of charge.

Labor Charges

1. Check project-specific labor rate settings on the Accounting tab of the Projects form in the Projects hub.

   If labor rate settings exist for the project charged, Vantagepoint uses those settings.

2. Check company override settings in the Journal Entry Override table on the applicable labor tab of the Intercompany Billing Setup form.
   • If the table contains a row for the correct target and originating companies, and Rate Method is set to Multiplier, Vantagepoint checks for an override multiplier for the corresponding labor transfer type for the project’s organization on the Intercompany Billing tab of the Individual Organization Setup form.
     • If an override multiplier exists for the organization, Vantagepoint uses that multiplier.
     • If an override multiplier does not exist for the organization, Vantagepoint uses the multiplier from the Journal Entry Override table.
   • If the table contains a row for the correct target and originating companies, and Rate Method is set to a method other than Multiplier, Vantagepoint uses the settings from that row.
3. Check company settings in the Journal Entry Information table on the applicable labor tab of the Intercompany Billing Setup form.
   • If Rate Method is set to Multiplier on the row for the target company, Vantagepoint checks for an override multiplier for the corresponding labor transfer type for the project’s organization on the Intercompany Billing tab of the Individual Organization Setup form.
     • If an override multiplier exists for the organization, Vantagepoint uses that multiplier.
     • If an override multiplier does not exist for the organization, Vantagepoint uses the multiplier from the Journal Entry Information table.
   • If Rate Method is set to a method other than Multiplier on the row for the target company, Vantagepoint uses the settings from that row.

In cases in which the applicable labor rate method is one of the rate table methods but the specified rate table does not contain rate information that applies to the labor charge, Vantagepoint uses a 0.0000 billing rate.

In cases in which the applicable regular labor rate method is Billing Terms and no billing terms exist for the project, Vantagepoint uses the reporting default billing terms in Billing Settings.

Regular Expense Charges

1. Vantagepoint checks project-specific expense rate settings on the Accounting tab of the Projects form in the Projects hub.
   • If expense rate settings exist for the project charged, and Rate Method contains one of the rate table methods, and the specified table contains an entry for the expense, Vantagepoint uses the multiplier from the table.
   • If expense rate settings exist for the project charged, and Rate Method contains one of the rate table methods, but the specified table does not contain an entry for the expense, Vantagepoint uses the multiplier from the Accounting tab of the Projects form in the Projects hub.
   • If expense rate settings exist for the project charged, and Rate Method contains a method other than one of the rate table methods, Vantagepoint uses the settings from Accounting tab of the Projects form in the Projects hub.
2. Vantagepoint checks company override settings in the Journal Entry Override table on the Regular Expense tab of the Intercompany Billing Setup form.
   • If the table contains a row for the correct target and originating companies, and Rate Method is set to Multiplier or one of the rate table methods, Vantagepoint checks for an override multiplier for the corresponding expense transfer type for the project’s organization on the Intercompany Billing tab of the Individual Organization Setup form.
     • If an override multiplier exists for the organization, Vantagepoint uses that multiplier.
     • If an override multiplier does not exist for the organization, and Rate Method is set to Multiplier, Vantagepoint uses the multiplier from the Journal Entry Override table.
     • If an override multiplier does not exist for the organization, and Rate Method is set to one of the rate table methods, and the specified table contains an entry for the expense, Vantagepoint uses the multiplier from the rate table.
     • If an override multiplier does not exist for the organization, and Rate Method is set to one of the rate table methods, but the specified table does not contain an entry for the expense, Vantagepoint uses the multiplier from the Journal Entry Override table.
   • If the table contains a row for the correct target and originating companies, and Rate Method is set to Billing Terms, Vantagepoint uses the settings from that row.
3. Vantagepoint checks company settings in the Journal Entry Information table on the applicable labor tab of the Intercompany Billing Setup form.

• If Rate Method is set to Multiplier or one of the rate table methods on the row for the target company, Vantagepoint checks for an override multiplier for the corresponding expense transfer type for the project’s organization on the Intercompany Billing tab of the Individual Organization Setup form.
  • If an override multiplier exists for the organization, Vantagepoint uses that multiplier.
  • If an override multiplier does not exist for the organization, and Rate Method is set to Multiplier, Vantagepoint uses the multiplier from the Journal Entry Information table.
  • If an override multiplier does not exist for the organization, and Rate Method is set to one of the rate table methods, and the specified table contains an entry for the expense, Vantagepoint uses the multiplier from the rate table.
  • If an override multiplier does not exist for the organization, and Rate Method is set to one of the rate table methods, but the specified table does not contain an entry for the expense, Vantagepoint uses the multiplier from the Journal Entry Information table.

• If Rate Method is set to Billing Terms on the row for the target company, Vantagepoint uses the settings from that row.

In cases in which the applicable expense rate method is one of the rate table methods but the specified rate table does not contain rate information that applies to the expense charge, Vantagepoint uses a 0.0000 billing rate.

In cases in which the applicable regular expense rate method is Billing Terms and no billing terms exist for the project, Vantagepoint uses the reporting default billing terms in Billing Settings.

Overhead and Promotional Expense Charges

1. Vantagepoint checks project-specific expense rate settings on the Accounting tab of the Projects form in the Projects hub.

   If an expense multiplier exists for the project charged, Vantagepoint uses that multiplier.

2. Vantagepoint checks settings on the Intercompany Billing tab of the Individual Organization Setup form.

   If an override multiplier exists for the corresponding expense transfer type for the project’s organization, Vantagepoint uses that multiplier.

   If an override multiplier exists for the corresponding transfer type for the project’s organization, Vantagepoint uses that multiplier.

3. Vantagepoint checks company override settings in the Journal Entry Override table on the Overhead Expense tab or Promotional Expense tab of the Intercompany Billing Setup form.

   If the table contains a multiplier for the correct target and originating companies, Vantagepoint uses that multiplier.

4. Vantagepoint checks company settings in the Journal Entry Information table on the Overhead Expense tab or Promotional Expense tab of the Intercompany Billing Setup form.

   Vantagepoint uses the multiplier on the row for the target company.

Balance Sheet/Other Charges

1. Vantagepoint checks settings on the Intercompany Billing tab of the Individual Organization Setup form.

   If an override multiplier exists for the corresponding transfer type for the project’s organization, Vantagepoint uses that multiplier.

2. Vantagepoint checks company override settings in the Journal Entry Override table on the Balance Sheet/Other tab of the Intercompany Billing Setup form.

   If the table contains a multiplier for the correct target and originating companies, Vantagepoint uses that multiplier.

3. Vantagepoint checks company settings in the Journal Entry Information table on the Balance Sheet/Other tab of the Intercompany Billing Setup form.

   Vantagepoint uses the multiplier on the row for the target company.