What is Time and Materials Billing?

Time and materials billing is a billing method by which customers are billed for material costs at a markup percent and for labor at hourly rates.

Example

SBC charges clients for on site training. They add a 10% markup on materials and charge an hourly rate for their trainers.

The markup is applied to non-labor charges on Override Account Categories (AC06.1), just as it is for cost plus billing. The labor rate is determined by a labor rate table or a rate assigned to a resource.