Costs and overhead
How QUANTICAL.ERP calculates base salary, bonus, social security, other costs and overhead for the P&L - from the employee master data and two central settings.
The P&L in controlling needs no bookkeeping. The two largest cost blocks of a professional services firm, salary and bonus, QUANTICAL.ERP calculates automatically from the employee master data. Overhead and social security you set once, centrally, in the header row.
Salary and other payments
You maintain salaries under Administration > Employees. Click the pencil in the Actions column and switch to the Compensation tab.
- Annual Salary: the gross annual salary with Valid from and Valid to. Several entries make up the salary history
- Other Payments: monthly amounts such as company car, job ticket or mobile phone, also with a validity
For the chosen period QUANTICAL.ERP counts by the day: the annual salary is divided by 365 and multiplied by the days on which the entry is valid. A raise in the middle of the period therefore enters with old and new salary for their own days each. Other payments are converted from the monthly amount to the year and then to the days. Counting happens only within the employment period that start and end date in the master data define.
Bonus
In the Bonus Profiles section of the same tab you assign a bonus profile to the employee. From then on QUANTICAL.ERP calculates the bonus for the period automatically by the rules of the profile. Without a bonus profile the P&L shows a bonus of 0 euros.
Set overhead and social security centrally
The header row of controlling holds two values that apply to all employees and all views.
- Yearly Overhead: all costs not tied to a person, such as rent, software, insurance and advisory, as a yearly amount in euros. For the period QUANTICAL.ERP prorates the amount by days, in the forecast it enters in full. It is spread evenly across the employees
- Social Security: the employer's share in percent, default 21. It is added on top of base salary and bonus, not on the other payments
QUANTICAL.ERP stores both values in your browser. Change a value and the page recalculates at once.
How the P&L calculates
- Total Revenue: billable hours times the hourly rate valid for employee and project on the day of the booking
- Total Costs: base salary, bonus, social security, other costs and overhead
- Net Profit: total revenue minus total costs, with the margin next to it in percent of revenue
Costs per project
So that the project table shows costs and margin per project, QUANTICAL.ERP spreads the personnel costs over the booked hours. Base salary and other costs run over all hours of the employee, that is project, internal time, vacation and sick leave. The bonus runs only over the bonus-relevant project hours, because it is paid for project work.
Hours outside the client projects appear at the end of the project table under Not assigned to a project, split into Internal, Vacation, Sick leave and Unassigned. This way the sum of the projects matches the P&L.
In the Costs tab of the employee performance you see the same cost types per person. The icon next to the name opens the Compensation tab directly, in case a salary is missing or outdated.
The four views
Actual, Forecast, PLAN and PLAN vs. ACTUAL in QUANTICAL.ERP controlling - the live P&L for any period, extrapolated to the year, as a plan and as a review.
Utilisation and budget
Measure employee utilisation, check the realised hourly rate and evaluate budgets per project and client - the key figures in QUANTICAL.ERP controlling.