Your FP system has a lot of fields, options, and content within it, but we do hear from users that they could use some additional clarity on some common system terms.
Please review this article to learn more about the terms "Billable" and "Non-Billable" as they relate to Jobs and Timesheets in your FP system.
When it comes to a Job
A Job can be Billable or Non-Billable based on its Job Billing Status.
When it comes to a Timesheet
A Timesheet is Billed or Not Billed depending on if its value has been incorporated into an Invoice or not.
When it comes to Tracked Time
Tracked time is Billable or Non-Billable based on the value of the Internal Service or the Service Rate - ie. Copywriting may have a billable value/service rate of $125 per hour, where as Errand might have a billable value/service rate of $0 per hour, making it essentially non-billable.
Every Job that has tracked time, will have a Timesheets tab. On this tab, you can easily discern if a Timesheet will be considered Billed, and if the time is Billable.
- Billed time will have an associated Invoice number.
- Billable time will have an associated Billable value.
In the example above, we have some good examples of how this looks and can be interpreted:
- My time for April and May has been included on Invoices, and is therefore Billed.
- My time for June has not been included on an Invoice, so it is not Billed.
- My time tracked to the $0.00 Internal Service of Errand is Non-Billable.
Extended Learning on Staff Time
In your FP system, you have the option to set up both:
- The number of hours per day each staff member is available to work.
- The percentage of the hours that should be considered Billable for any staff member.
You can then pull reports based on this information.
Note: Access to all of the above is user permission based.
Different staff may have different numbers of hours that they are available to work, or that they are in the office. You can set general business operations hours, as well as available hours for each staff member via the Admin area > System Set Up > The Work Calendar.
For more information about the work calendar click here Resource Allocation & the Work Calendar
On the Office Hours tab, set the hours of operation for the office, as well as any office wide closures.
On the Staff Hours tab, set available hours for staff should they differ from those of the office. You can also set individual staff Holidays.
Target Billable Percentage Goal
Different staff may have different goals when it comes to the percentage of their work that should be considered Billable. You can set this percentage for each of your team members via the Admin area > Rate & Staff Management > Manage Staff, Staff Rates, Staff Permissions.
You will land on the Admin Staff List. Click the name of any staff member to edit or set their target.
Enter the value of your choosing into the Billable Hours Target % field, and the Submit button to save these changes. This information feeds to staff efficiency related reports. Repeat these steps for other staff members as needed.
The Staff Utilization Report
The Staff Utilization Report shows much of the above information in one view, and can be a valuable report to agency or people managers. The report can be accessed via Reports > Plan tab.
Enter date parameters in order to generate the report. Click Submit when ready. The report is generated in XML, and best opened using Excel.
1. The Target Percentage: is set up in the Staff Details page. It is the target percentage of Billable hours. For example you might have a target Billable percentage of 80% because your employee submits Billable timesheets 80% of the time. The remaining 20% of their timesheets that will be logged in Function Point will be Non-Billable (i.e. a $0.00 rated Service or time tracked to a Non-Billable Job).
2. Available Hours: Is the number of hours staff are available to be assigned work for the date range selected for the report. This is set up in the Work Calendar.
3. Target Hours: is the target percentage multiplied by the number of available hours.
4. Total Hours Worked: is the number of hours submitted on timesheets by the staff.
5. Total Billable Hours: is the number of timesheet hours that were submitted against Billable Services on Billable Jobs. i.e. Services that don't have a rate of $0.00.
6. External Billable: is the number of timesheet hours that were submitted against Billable Services on Billable Jobs for external clients.
7. Internal Billable: is the number of timesheet hours that were submitted against Billable Services on office (internal) Jobs that are Billable.
8. Total Non-Billable: Is $0.00 rated hours submitted on timesheets for services on Billable Jobs or any Service on a Non-Billable Jobs.
9. External Non-Billable: Any timesheet submitted against client Jobs that are Non-Billable.
10. Internal non-Billable: Any timesheets submitted against office Jobs that are Non-Billable.
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