Using Charge-Based Billing
Charge-Based Billing is the preferred project billing type in Project Management and SuiteProjects with the following key benefits.
-
Billing rate cards to meet industry standards with rates defined by Billing Class and effective dating to handle rate increases.
-
Automation with billing caps to ensure not-to-exceed contracts are billed correctly to the customer.
-
Ease of use to manage charges prior to invoicing with the ability to mark charges on hold and or mark them non-billable as required.
-
Flexibility to support multiple rules on the same project to handle more complex billing contracts.
-
Increased visibility with project billing forecast reports driven by Charge Rules and planned project activities.
-
Required to use Project Revenue Rules.
A billing charge is a unique record with a monetary value to be used for invoicing, forecasting, and reporting. A charge is non-GL impacting as a stand-alone record but will drive the amount on an invoice transaction resulting in a GL impact. There are two types of charges:
-
Actual charges – used to bill customers on an invoice and for project billing reports. You can modify actual charges in Manage Pending Charges before being included on an invoice. Unbilled actual charges provide an insight to WIP for a services organization before invoicing.
-
Forecast charges – used to drive sales estimates and for project billing forecast reports. Forecast charges update projected amounts on sales transactions: Opportunities, Estimates, and Sales Orders. Drives projected billing forecast reports for visibility into expected billing.