The Job Costing module can be used to keep track of expenditure which has gone into performing a job for a customer.
Expenditure can be both inventory and service in nature, and include your own services/inventory and those of suppliers. The Job Costing module can be used to accumulate this expenditure and produce an invoice for the customer adding a margin if required.
Familiarity with Processing a Purchase (necessary)
Familiarity with Processing a Sale (necessary)
Set up Accounts - including an Account for Jobs performed (necessary)
Creating a New Job
To create a new job:
Navigate to Production -> Jobs -> New Job
Enter a Job Description and a Customer. The Customer details will be filled in automatically but can be edited here if required.
Choose an Account and Tax Rule - this must be created before. NOTE: Once an account is selected, a specific sub-account for this particular job will be created under this account.
Enter a Start Date and Completed Date (optional)
Select a Job Status. NOTE: If the job is kept in Prospect, you will not be able to accumulate any expenses against the sub-account
Enter an Estimated Value of the job (optional) and a Budgeted Margin % to be added onto the expenses when invoicing your customer
Once you've completed the job header, you can move on to creating milestones, which will be used to invoice the client.
To add milestones to a job:
In the selected job, go to the Milestones tab
Use + Milestone to add milestones to the job
For each milestone, add a Description, Comments (optional), Estimated Date and Actual Date (optional) and Status.
Save the job to begin assigning expenses to it.
Assign Expenses to a Job
Once a job and job milestones have been created, expenses can be assigned to it. Expenses can include those ordered from your own suppliers or those directly from your inventory.
Expenses ordered from suppliers
To assign inventory and labour expenses outsourced from a supplier to a job, the purchase module is used.
To assign supplier expenses to a job:
Navigate to Purchase -> Orders -> New Order
Fill in the purchase order document header as usual (See Processing a Purchase for more info)
IMPORTANT : In the Inventory Account dropdown field, make sure to pick the inventory sub-account related to the specific job.
Add products and services to the Purchase order as usual (See Processing a Purchase for more info)
Authorise the purchase order as usual. Once the stock has been received, the customer can be invoiced.
Expenses ordered from your own inventory
To assign product and service expenses from your own inventory, the Issue to Production function must be used.
To assign expenses ordered from your own inventory:
Navigate to Production -> Issue to Production -> New Issue to Production
Enter the Location of the Products/Service and make sure to select the Expense Account associated with the job.
Use +Product/Service to add expenses related to the job.
Click Complete to finish and enable invoicing the customer.
Invoicing a customer
Before invoicing a customer:
Expenses must be assigned to the correct job sub-account
Purchase orders must be authorised with stock received
Issue to productions must be completed
To generate job invoices for a customer:
Navigate to Production -> Jobs -> View All
Select the job to invoice
Go to the Invoicing tab
Select the Milestone you wish to invoice for from the dropdown menu
Check the boxes next to all the invoices you wish to generate for that milestone and click Generate. You can generate partial invoices for each milestone, or one invoice that incorporates all the expenses.
You will be notified that a sale order task has been created for this job.
An invoice will have been generated with all of the expenses for the job, plus the margin specified in the job document header. Authorise the invoice and process the sale as usual. (See Processing a Sale for more information).
Rather than manually invoicing every expense, DEAR also gives you the options of automatically generating invoices for a job at regular intervals. Automatically generated invoices will still have to be authorised as usual.
To set up auto-invoicing:
Select the job you wish to set up auto-invoicing for
In the document header, check the Auto Invoice box. This allows you to also pick an Invoice Date and Invoice Frequency.
Save the Job to complete.