Invoice with Day Rates

Projectworks supports the ability to issue invoices at a daily rate in those instances where your customers prefer to receive their invoices billed in days rather than in hours.

Organisation hours per day for invoicing

How to set it up

The Day Rate invoice mode is project specific and can be selected from Project > Settings > Invoicing screen. When creating a new project, the units will be set to hours, but you can select to invoice by days.

If you select Days as the unit, the system will convert any time entries against the project into a day (Hours entered DIVIDED BY Organisation hours per day for invoicing) and similarly convert the hourly rate from the rate card to equivalent Day Rate (Hourly rate * default hours per day), resulting to an invoice that is in day rates.

Projectworks users who can maintain project settings can set project invoicing to hours or days.

Organisation hours per day for invoicing

The organisation hours per day for invoicing allows you to define a different number of hours per day for different organisations.

e.g. You may invoice New Zealand clients based on an 8 hour day, and invoice Australian clients based on a 7.6 hour day.

Set the organisation hours per day that is correct "most of the time". If the client for you project is billed by the day, but has different hours per day for invoicing than your organisation, you can manually update consolidated line items in your invoices.

Organisation hours per day for invoicing can be managed in two ways:

Creating or editing an organisation; or
Editing Organisation hours per day for invoicing setting.

Organisation hours per day for invoicing setting

Projectworks administrators can update the Organisation hours per day via the Organisation hours per day for invoicing setting, as opposed to editing an organisation. This enables a Projectworks administrator to view and update this setting for all organisation's in a single place.

Go to: Settings > Invoice Settings > Organisation hours per day for invoicing

Projectworks users with access to: Admin.System.Settings.View can view and edit the Organisation hours per day for invoicing setting.

If the organisation hours per day for invoicing is changed for an organisation, the updated hours per day will only apply for invoices raised after the change has been made. All invoices raised prior to the change, where invoice lines are billed by the day will retain the hours per day for invoicing the applied when the invoice was raised.

If the invoice is still in draft (i.e. has not been invoiced to the client), you can delete the invoice and create a new invoice which will apply the new hours per day for invoicing.

Troubleshooting

My Invoice Breakdown document doesn’t have the right units on it!

The default invoice templates will work with day rates mode. However, if you have edited the Invoice Breakdown template to suit your business needs better, you need to add the merge field tag ‘QtyTitle’ as the quantity column heading. This will make sure the correct units (Hrs or Days) are applied to the document.

It is worthwhile to test your templates by selecting the templates and downloading PDFs from an invoice to make sure your invoices and invoice breakdowns look correct which ever unit is used. Read more about Invoice PDF templates here.

I cannot change the units of time in an invoice/My invoices are in the wrong unit

The units of time on an invoice use the units that have been selected for the project at the time of invoice creation. If, at later date the invoice setting is changed from hrs to days or vice versa, only invoices created after the setting change will use the updated units.

If you want to change any historical invoices, you will need to delete these and reissue new ones.

I have selected Days as my units, but the invoice PDF shows a quantity of 1 even if there are multiple days worth of time entries

If your invoice line is in the consolidated time entries mode, the invoice lines will always have a quantity of 1 in both hours and days.

Billable Rate, Days x Rate or Invoice Amounts are incorrect

As the daily “Billable Rate” in an invoice = hourly rate * Organisation hours per day for invoicing, the “Billable Rate”, “Days x Rate” and “Invoice Amount” may differ from the actual days worked * agreed daily rate due to the rounding of:

The hourly cost;
The calculated days;
The calculated daily “Billable Rate”; and/ or
The calculated “Invoice Amount”.

e.g. Pippi Longstocking has an agreed billable day rate of $1,000 per day, and the Organisation hours per day for the project she is working on is 7.6 hours.

Pippi’s hourly rate has been manually set to $131.58 ($1,000 DIVIDED BY 7.6 hours).

The calculated daily “Billable Rate” = $1,000.008
The calculated “Invoice Amount“ for 5.5 days = $5,500.05

To calculate the correct Invoice Amount to 2 d.ps, Pippi’s hourly rate can be manually set to 4 d.p's against the project’s timecodes.

Read more about over-riding an hourly rate on a timecode for an employee → ⚠️Please note: if there are rounding issues, the invoice breakdown will still display the unrounded values.