Defining a billing category rate table

Rate tables can determine the billing rate to be charged for labor hours during the life of the activity. Rates are defined based on a labor category (transaction attribute) attached to the transaction. This procedure describes how to define a billing category rate table for time and materials billing.

Before you define billing category rates, set up your billing parameters on Activity Billing (BR00.1) and define your transaction attributes on Attribute (MX00.1). Assign attributes to the source codes you will use on Source Codes (GL05.1).

  1. Access Billing Category Rates (BR03.1).
  2. To determine the billing rate to be charged for labor hours during the life of the activity, use these guidelines to specify the field values:
    Activity

    Specify or select the summary, contract, or posting level activity for which you want to define labor billing rates.

    Account Category or Summary Account Category or Contract Category Group

    Specify or select the account category, summary account category or contract category group for which you want to define billing category rates. To define rates that are valid for all account categories, leave this field blank.

    Note: Account categories must be defined as billable on Account Category Assignment (AC06.1) or within the account category structure.
    Source Code

    Specify or select the source code that you want to assign to the billing category rates. The source code lets you assign different rates based on where the transaction originates.

    Billing Category

    Specify or select a transaction attribute assigned on Source Code (GL05.1) for which you want to base the billing category rate. For example, you could select job code.

    If you want, you can define a ceiling at the labor category level. See Setting up ceilings.

    Beginning Date

    Specify or select the effective date for the billing category rates.

    (Billing Category Value)

    Specify or select a value to which you want to assign a billing rate. For example, if you selected job code for the labor category, then you might select a labor category value of designer, analyst, or programmer.

    Note: A column name will default based on the labor category chosen on the header
    Description

    Specify a description for the billing category which you are assigning a rate. This description will print on the invoice.

    Billing Rate

    Specify the billing rate that you want to assign to the billing category.

    When you add a record, you can leave this field blank, which lets you set up values even if you don't know the rates. However, the billing rate must exist before you run Activity Posting (AC190). If no billing rate exists when AC190 runs, then the transaction will not post and appears on the AC190 error report.

    Click Ceiling to define a ceiling at the billing category level. See Setting up ceilings.

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