Once the relevant Admin setup has been performed and Project Billing data created, projects can have data included in a Post. This will identify time & materials items, fixed price or cost plus labor and expenses that should be processed.
This document provides information regarding the Billing and revenue Post. This will identify time & materials items, fixed price items, and cost plus labor and expenses that should be processed. This posting will calculate (and for Financials customers post to the General Ledger) unbilled, deferred revenue, recognized revenue, and any associated fixed fee or funding cap adjustments. It is also a necessary step of the Invoicing Process; in order to create a draft invoice you must first have performed a Billing and Revenue Post.
To ensure accurate calculation of recognized revenue for Fixed Price items using the Percent Complete method, a Budget Snapshot for the project should be performed. The Post process and billing reports will use Snapshot data if available.
Navigate to the Financials dashboard > Invoicing & Posting > Billing & Revenue Post. Here you can filter on various project parameters as desired, or can run with no filters applied to select all available projects:
- Important considerations for dates:
- Legal Entity (required)
- Include Actuals Through: This will pick up any previously unposted items, using the criteria defined under Admin > Setup > Accounting > Posting Options screen.
- Cost-Plus Recalculation Options This is typically used for year end recalculation when you transfer from provisional rates to actual rates. Since postings are done at the transaction level, we don't want the system to go through every single transaction every time rates are updated. The Standard should be to not recalculate. Once posting is completed, the amounts do not change, UNLESS this checkbox is selected. Specify the range like for a full fiscal or calendar year. The Best Practice is to change the provisional rates to the actual rates once they're known. DO NOT change posting options from provisional to actuals because it will go back and use for EVERYTHING.
- Fixed Price Options: This will allow you to bypass the creation of Fixed Price Billing and/or Revenue transactions in the post. For instance, you may want to use this to create Fixed Price billing transaction as part of you normal billing cycle without also creating revenue postings or post your period end Fixed Price revenue transactions without creating any billing transactions
- Post Date: This will specify what date the journal entries will show as their posting date (for financials customers this will drive when actually posted to the GL). The Post Date also is used to restrict the previously posted amounts used to determine the current postings for Fixed Price percent complete revenue postings, Funding Cap Adjustments and Fee Cap Adjustments.
Note: for any FP items of "When Billed" Revenue Recognition Method, the Post Date will not apply because you have set the revenue to be recognized When Billed. On this Post screen, you are Posting and not Billing. You have yet to create the Invoice. The When Billed revenue will only be recognized once you have Completed the invoice, and will apply the Invoice Post date.
- Fiscal Period: If fiscal periods have been selected in Admin > Properties then fiscal period selection option will appear. The fiscal period will match the post date period. A warning will appear when retrieving the list if you have a different post and fiscal period than your "include actuals through" period. On rare occasions, you could potentially have some older information that you need to put in the current period; this is why the system allows it (and will give a warning because such an occasion should be infrequent.)
- Once you have entered the desired parameters and dates, select the List tab. The List tab screen previews the amounts which will be posted.
- Once you have reviewed the transactions available for posting, select the specific project(s) you wish to include in the Billing and Revenue Post, and click the Post button.
Once the post is run, you will see feedback written to the screen that will indicate the projects, and status of each project, included in the post. Should any unexpected issues be encountered, additional details will be written to the screen for the effected project. Note that any project that encounters an error during the Post, would result in no items being posted.
Other projects within that same run that did not encounter an issue would have their data posted.
The Post process will validate that each item is eligible to be included. This is described in detail in the Help Document referenced below, but in summary:
- For TM or CP projects, only extracted or locked labor and expense will be included as well as posted project expenses entered via any of the financials transaction entry screens (vendor payment, vendor invoice, deposits, customer payments and journal entries)
- For FP, the criteria used when defining the billing and revenue recognition schedules, and the Include Actuals Through Date will determine what amounts are calculated for the various account categories. If calculating
recognized revenue for Fixed Price items using the Percent Complete method, a Budget Snapshot for the project should be performed. The Post process and billing reports will use Snapshot data if available.
Note: Dates of items will be evaluated based upon your settings in Admin - Setup - Posting Options. See Posting Options in the Additional Information section below.