In addition to tracking the hours worked on a project, Time IQ can help you keep track the labor costs of the people working on your projects. When time entries are created we can calculate your costs, and display them on your reports so you can get a sense of what it cost you to complete the work.
This feature is enabled by default, and will allow you to set a cost rate for each of the people that use Time IQ.
Once you are tracking staff costs, you can get a very solid idea of your profit and loss based on labor costs.
How Cost Tracking Works
With Cost Tracking, when an employee creates a new time entry the current cost rate for that person will be stored, as well as a calculated cost total for that time entry. If you update your rates in the future, the old rate will remain on old time entries, while the new rate is applied to newly created entries.
Costs will be tracked for both billable and non-billable hours, so you will be able to easily track your company and project overhead for non-billable tasks.
Tracking Cost for Hourly and Salaried Employees
If you have hourly employees with a fixed hourly rate, just set the cost for that employee to that rate, and you will have a great idea of what it cost you for their time on a project, as well as what your current payroll obligations are for your team.
If you have salaried employees, you can set their hourly cost based on each employees salary and benefits. Talk with your HR department to come up with a formula to use for your company to get the best ballpark cost estimates for your team.
One suggestion is to take an average monthly SALARY + BENEFITS number, and divide by 160 hours (4 weeks of 40 hour weeks), to get your hourly cost rate for salaried staff.
Who can see cost tracking data?
Only Administrators can manage and change the costs associated with each person.
Only Administrators can view cost data in reports (Managers do not have access to view cost data).
Standard users will never be able to see the costs associated with them or the time entries they create.
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