Labor-Loaded Gross Marginby Agreement

Background Tour

Purpose/Background

• Shows “all in” Gross Margin profitability ($’s or %) for each Agreement

– Takes into account the W-2 cost of labor even for fixed-fee agreements

– Breaks out “Parent-Child” agreements into their separate components.

• Drill-down into monthly agreement invoices

– …and further into hours, time entries, etc.

Notes and Notices

• Set the date range (start date, stop date) to the desired period. Typically this report is run for a one-year date range. Enter the desired start and stop dates, then hit REFRESH.

• Revenue for each agreement (parent or child) is calculated from both the revenue at the agreement level PLUS revenue from the “Additions” tab on the Agreement screen.

Notes and Notices

• 3rd Party Costs for each agreement (parent or child) is calculated from the “Additions” tab on the Agreement screen.

• W-2 Costs are calculated via time entries that are posted against that agreement (parent or child).

• Expenses posted against the agreement are also subtracted from the Revenue to determine Gross Margin.

Where to Find the ReportPlanning & Analysis > Agreements > Labor Loaded Gross Margin by Agreement

Overviewby Gross Margin $

GM$ = (Revenue – 3rd Party Costs – W-2 Costs – Expenses)

By Month

By Agree Type, Company &

Agreement Name

GREEN = increase

RED = decrease

Overviewby Gross Margin %

% = (Revenue – 3rd Party Costs – W-2 Costs - Expenses) / Revenue

GREEN = increase

RED = decrease

Drill-DownFigures used in Gross Margin Calculation

Click to drill-down

Drill-DownInvoices for this Agreement

Click to drill-down

Drill-DownInvoice Detail

Click to drill-down

Drill-DownDetail on Hours Spent by Date

Click to drill-down

Drill-DownDetail on Hours Spent by Engineer

Click on prior screen to drill-down

Settings

Click down-arrow icon to

export to Excel

Click “Refresh”

after changing

parameters

Select Type of Agreement Types to Display

Select date range (Past 12 months is recommended)

Report may include multiple pages

Filter by Location

Include additional revenue generated and related costs incurred via “overages” in

the calculation

Select Internal Labor “Product Types” (Costs will be calculated as W2 only)

Show Gross Margin % or $

Executive Briefing ServiceOther Resources

www.NewHavenTech.comSupport@NewHavenTech.com

www.YouTube.com/NewHavenTech

www.LinkedIn.com/NewHavenTech

www.FaceBook.com/NewHavenTech

@NewHavenTech

www.SlideShare.net/NewHavenTech

www.ConnectWise.com/Marketplace