Troubleshooting Overhead Allocation

If you are new to Vision, you may find it helpful to review troubleshooting tips.

What happens if my overhead rate changes?

If the overhead rate changes, Vision recalculates each project's year-to-date overhead, but leaves the previous years' overhead unchanged.

What happens if I close a period and forget to run Overhead Allocation?

Vision allocates overhead automatically when you close an accounting period if the method is company-wide or by organization. You may run Overhead Allocation before closing the period.

What if I open a new period, but did not run Overhead Allocation in the prior period?

You may open a new period. Your overhead numbers will be estimated, not actual. If you try to run overhead in a current period without running it in the prior period, Vision will not let you. You will be prompted with a message to run prior period overhead. Change periods to the prior period and run overhead.

Why do my project reports show overhead as estimated?

Vision is displaying a provisional overhead rate. If you have posted transactions since overhead was last allocated, Vision uses an estimated, or provisional, overhead rate to calculate the overhead figures on your project reports. This is common on mid-month reports because overhead is usually run at month end. This is only a display, the database is not update with the estimated data.

If you are using the assignment method, the assigned and provisional rates are the same.

If you are using the proration method, the provisional rate is the rate in effect the last time overhead was allocated.

Which reports display Overhead Allocation information?

The following table describes the Vision reports that contain overhead allocation information.

Method	Description
Project Progress Report (at cost rates)	Current period, job-to-date, and budgeted overhead for each regular project.
Project Detail Report (at cost rates)	Current period or job-to-date overhead for each regular project.
Project Summary Report (at cost rates)	Current period, job-to-date, and budgeted overhead for all regular projects.
Office Earnings Report (Accounting module installed)	Overhead amounts are included in the Spent column. The total spent column for all projects should tie to your Income Statement. Your total YTD Spent column for all projects should tie to your total operating expenses on the Income Statement.
Overhead Allocation Report (Accounting module installed)	Current period, year-to-date, and job-to-date overhead for all regular projects. The YTD Overhead column should tie to the total indirect expenses on your Income Statement.
When you run Overhead Allocation using the proration method, Vision calculates and uses a provisional overhead rate to determine overhead amounts. Allocating overhead by the assignment method, based on estimates rather than on calculations, may not be as accurate. When generating project reports at cost rates (set in Report Options), reports display overhead amounts. If you use the alternative setting, billing rates, overhead amounts are not displayed.