Overhead Application Bases (tppdm2100m000)

	Overhead Application Bases (tppdm2100m000) Use this session to create and maintain overhead application bases. Note To differentiate between internal and external rates Infor LN allows you to specify whether the applied rate, billing rate or both must be used to calculate overhead, using the Applied Rate and the Billing Rate check boxes. The OverheadPercentage is applied on the cost amount (the overhead cost is added to the project/ contract) and the Billing Percentage is applied on the billable amount which is invoiced to the business partner. Post the approval of billing rates, the overhead calculation must be reapplied. Related topics Overhead costs overview To calculate overheads Overhead application bases set-up Base The code that uniquely identifies the overhead application base. Description The description or name of the code. Version The version number that LN generates based on the unique base-code. This is a display field. Note The first version of an overhead application base takes the default value of 0001. If another version is created for the overhead application base with the same base-code and same validity period, the second version takes the value 0002 (value of first version +1). This is a display field. Level The level at which the overheads must be calculated. Note The Level field is enabled and mandatory only if the Base Type field is set to Amount. If the BaseType field is set to Direct Labor Hours, the value is always 1. The overheads over overheads can be calculated only if the value in the Level is 2 or more. The Level (allowable values 1 to 9) determines the sequence in which overhead is calculated. Overhead of base with level 1 (the tab Assignments Cost Base contains only direct costs) is calculated first. After calculating the overhead of base with level 1, the overhead over overhead is calculated (Level 2 and up ). BaseType The base type on which the overhead is calculated. The base type can be modified only if the base status is Draft. Allowed values Base Type OverheadPercentage The overhead cost expressed as a percentage. The value in this field can be modified only if the status is Draft. Note This field is enabled only if the Applied Rate check box is selected. You must specify a value in this field if the BaseType field is set to Amount. Overhead Rate The overhead amount for an hour of labor. Note This field is enabled and mandatory, only if: The BaseType field is set to Direct Labor Hours. The Applied Rate check box is selected. Currency The currency used to express the overhead rate. Billing Percentage The percentage used to calculate the billable cost. Example, if the cost is 100 and the percentage is 10, the billable cost is 110. Note This field is enabled only if the Billing Rate check box is selected. You must specify a value in this field if the BaseType field is set to Amount. The value in this field is defaulted from the OverheadPercentage field. However, you can modify this value. You can modify the value in this field only if the base status is Draft. Billing Rate The rate that must be invoiced to the business partner, for an hour of labor. Example, if the rate for an hour of labor is 25 USD. For 2 hours of labor, the billing amount is 50 USD. Note This field is enabled and mandatory, only if: The BaseType field is set to Direct Labor Hours. The Billing Rate check box is selected. The value in this field is defaulted from the Overhead Rate field. However, you can modify this value. The billing rate is applicable only for the project/ contract type, Cost Reimbursement or Time & Materials. Status The status of the overhead application base. Allowed values Base Status Note Infor LN only allows you to set the base to Expired, if the Status is Active or Closed. Valid From The date from which the overhead application base is effective. Note LN calculates overheads only if the transaction date is within the validity period of the overhead application base. Up to and Including The date up to which the overhead application base is effective. Note You can modify the date only when the base status is set to Draft. LN calculates overheads only if the transaction date is within the validity period of the overhead application base. Target Cost Object The code that identifies the cost object on which the overhead is calculated. Note The target cost object must be of the cost type Overhead. Applied Rate If this check box is selected, the rate specified in the Overhead Rate field is used to calculate the internal overhead costs for the contract/ project. Example, administrative costs. Note By default, this check box is selected. This rate is used to charge the contract/ project. Billing Rate If this check box is selected, the rate specified in the Billing Rate field is used to calculate the external overhead costs. Note By default, this check box is cleared. Infor LN selects this field, if the Billable check box is selected in the Standard Overhead (tppdm0142m000) session for the specified Target Cost Object. The billing rate is used to invoice the business partner. When you calculate the billable overhead using the billing rate, the non-billable transactions are excluded from the calculation. The billing rate is applicable only for the project/ contract type, Cost Reimbursement or Time & Materials. Authorization The billing rate type used for overhead calculation. Allowed values Authorization Note If the Status of the overhead base is set to Active or Closed, Infor LN considers the Provisional and Final rate type for overhead calculation. Default value is Provisional. Effective Displays the overhead application bases with the status Active. Ineffective Displays the overhead application bases with the status Draft. Closed Displays the overhead application bases that are closed. All Displays all the overhead application bases. Close Base Sets the Status of the base to Closed. This command is enabled only if the Status is Active. Expire Base Sets the Status of the base to Expired. This command is enabled only if the Status is Active or Closed. Set to Draft Sets the Status of the base to Draft. This command is enabled only if the Status is Active. Activate Sets the Status of the base to Active. This command is enabled only if the Status is Draft.