Continuing our second blog post on TotalServ Pro’s billing types, let’s learn about the final two billing types in this blog post. They are: Milestone Billing and Cost Plus Percentage.
Milestone billing is typically distributing the billing arrangement in which customers are billed in installments spread over a specific period of time on the achievement of a predefined milestone for a job. A job could have many milestones as agreed by service providers and their clients. Upon reaching a milestone, delivery manager will alert the sales team to initiate the billing with the pre-defined milestone amount. The billing cycle continues until all the milestones of that particular job is finished.
For example, a project may require Analysis, Coding, Testing and Deployment. So, in this case Analysis, Coding, Testing and Deployment could be the possible milestones on whose accomplishment the billing line items could be generated. When the job is in progress, Bill button is enabled in the milestone grid. Once the user clicks on the bill button, billing line item will be created.
Cost Plus Percentage
Cost Plus Percentage billing type is a Hourly-type contract that can be used as a billing arrangement when you want to bill direct costs on Time and Expenses (if expenses are part of job) plus a percentage of the costs to the client.(special bill rate applied to the cost).
In TotalServ Pro, this billing type would allow you to generate billing line item for the job that takes into account:
Cost Per Hour (each resource) and the Cost Plus Percentage that you want to add extra. The billing would be calculated as (Cost Per Hour (each resource)* No. of Time Posted Hours) + Cost Plus Percentage.