How is the Rates tab useful
The Rates tab of every project detail page lets you:
- see what the overall costs per 1 worked hour of each person on the project are
- learn how much profit you make from every hour worked on the project
- see if it makes sense to charge the client a different hourly rate on a particular project
- see if it makes sense to change the rate of a freelancer on a particular project
Overall costs per 1 hour of each person on a project
The Total hourly cost represents the sum of:
- the hourly cost per person calculated from their salary and monthly commitment
- overall fixed company costs (Overhead costs) divided by the number of that person’s worked hours
Your profit from the work of each person on a project
The profit you make from each person’s worked hour (Profit) is the difference between the hourly rate you sell that person’s work to the client for (Project rate) and the overall cost of your person’s man-hour (Total hourly cost).
Entering a rate different from the usual
The standard client rates are defined on the client detail page. However, it can happen that you and the client make an exception and charge them a different rate on a particular project. It is therefore required to change the Project rate, but retain the standard Client rate.
This is of course possible. Just enter a different Project rate using the Edit activity rates – the Client rate will remain intact.
Setting a different reward for a freelancer
When adding freelancers who track time on your projects, you have to define their hourly rates.
If you need to make an exception and arrange a rate different from the usual, but don’t want to change their standard rate, it’s also possible. Just click the Edit personnel rates button.