Just curious if there are any suggested or leading practices around the use of tagged funds. After reading through the allocPSA-Documentation-1.5.pdf they make sense in principle, but some actual use case examples would be helpful.
For (a simple) example, suppose you have a client with one active project. The project is time-and-materials with an estimate-to-complete (aka a "budget") of USD $50,000 for time-based revenue plus whatever billable expenses may be incurred (assume for this example no budget for expenses). There are three consultants (aka resources) assigned who will bill hours and incur billable AND non-billable expenses expenses. Invoices are created monthly, and include approved billable hours and approved billable expenses (some billable hours and expenses may be in "submitted" status but not in "approved and ready to invoice" status).
Given this example, what is a sample/suggested use of tagged funds?
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in the use-case scenario you present, you could create a TF cost centre account for the budget amount (USD $50,000), and have the project use that TF cost centre account. Therefore, any timesheets (or expense forms) made against that project, can be added as a deduction on that project budget, although this requiremes a manual line-entry when processing the timesheet.(However, the project also has a mechanism for tracking timesheets and expense forms made agains the project...)
This isn't perhaps the best approach for projects such as the one you describe. It is perhaps more applicable in scenarios where you have customers pre-pay for blocks of time or for fixed-price projects.
In general, TF cost centre accounts are really useful in scenarios where you want to give your staff or specific projects, their own cost centres for work expenses and time billing/revenue. You can then use the TF account mechanism to track inflows and outflows from those accounts, much like they were bank accounts.
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Just curious if there are any suggested or leading practices around the use of tagged funds. After reading through the allocPSA-Documentation-1.5.pdf they make sense in principle, but some actual use case examples would be helpful.
For (a simple) example, suppose you have a client with one active project. The project is time-and-materials with an estimate-to-complete (aka a "budget") of USD $50,000 for time-based revenue plus whatever billable expenses may be incurred (assume for this example no budget for expenses). There are three consultants (aka resources) assigned who will bill hours and incur billable AND non-billable expenses expenses. Invoices are created monthly, and include approved billable hours and approved billable expenses (some billable hours and expenses may be in "submitted" status but not in "approved and ready to invoice" status).
Given this example, what is a sample/suggested use of tagged funds?
Greetings,
in the use-case scenario you present, you could create a TF cost centre account for the budget amount (USD $50,000), and have the project use that TF cost centre account. Therefore, any timesheets (or expense forms) made against that project, can be added as a deduction on that project budget, although this requiremes a manual line-entry when processing the timesheet.(However, the project also has a mechanism for tracking timesheets and expense forms made agains the project...)
This isn't perhaps the best approach for projects such as the one you describe. It is perhaps more applicable in scenarios where you have customers pre-pay for blocks of time or for fixed-price projects.
In general, TF cost centre accounts are really useful in scenarios where you want to give your staff or specific projects, their own cost centres for work expenses and time billing/revenue. You can then use the TF account mechanism to track inflows and outflows from those accounts, much like they were bank accounts.