Is your Invoice's Estimated Margin right?

Follow

Your Invoice displays Estimated Profit and Estimated Margin. Do you ever wonder where the margin percentage is coming from? Or perhaps you feel the displayed information may be incorrect? Below you'll see three scenarios that can cause your margin to be incorrect and how you can resolve these issues.

Looking to learn how to get started with profitability? Click here.

The most efficient way to fix this is to update the cost on the part itself by going to the Item List and clicking on the part. While this won’t fix any existing invoices, it will make sure all future ones use that cost.

Note: If you purchase these items in QuickBooks, FieldEdge will see those costs and update them automatically for you. So it might make more sense to make sure these parts are itemized the next time you buy them.

1. Select Items on the left side of FieldEdge.

1.png

2. Search for and then select the item.

2.png

3. Adjust the Cost field in the Purchasing Information block.

3.png

4. Click Save.

4.png

The second reason for this is that your labor cost is not setup, is only partially setup, or is setup incorrect. This information is controlled globally or individually, at an employee level.

1. To correct this, go to Settings | Global Settings.

p2s1.png

2. Scroll down to Accounting Settings and enter a Default Hourly Labor Cost.

p2s2.png

3. When finished, click Save.

p2s3.png

Note: Ideally this will be your fully burdened labor rate for your average employee, but if you'd like some help this site has a calculator to help you determine that.

Optional: If you wish to set a specific labor cost to a particular employee.

1. Click on Settings and select Employees in the People section.

p2s1b.png

2. Select the employee from the list.

p2s2b.png

3. Scroll down to the Accessibility and fill out the Employee Hourly Labor Cost field.

p2s3b.png

4. Click Update.

p2s4b.png

You can overwrite, Estimated Profit and Estimated Margin, costs on a per invoice basis by clicking the details button on the invoice itself. By making sure your costs are correct, you'll be able to more accurately determine your profitability.

1. While on an Invoice, select the View Details button.

2a.png

2. Click into and adjust the Cost field associated with an item in the Material Costs/Other Costs section.

1a.png

3. When finished adjusting your cost, select Save.

p3s3.png

1 people found this helpful

Comments

0 comments

Please sign in to leave a comment.