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How to Track and Report Intercompany Hours

Track time logged across subsidiaries and generate reports for intercompany billing.

Updated today

If your organization has multiple subsidiaries, you may need to track when employees from one subsidiary log time on budgets owned by another subsidiary. This is essential for intercompany billing and cross-subsidiary cost allocation.

The Intercompany Hours feature helps you identify these cross-subsidiary hours and prepare the data needed for internal invoicing between subsidiaries.

Tracking intercompany hours requires multiple subsidiaries, which is available on the Ultimate plan only.

What Are Intercompany Hours?

Intercompany hours are time entries where the person's workplace subsidiary differs from the budget's subsidiary.

Example:
An employee based in the USA subsidiary tracks 10 hours on a budget owned by the Germany subsidiary. These 10 hours are flagged as Intercompany Hours.

This helps you:

  • Identify cross-subsidiary work

  • Calculate costs for internal invoicing

  • Allocate expenses accurately between subsidiaries

Using the Intercompany Hours Report

The quickest way to view intercompany hours is to use the pre-configured Intercompany Hours Report template.

To access the report:

  1. Go to Reports and click + Report

  2. Select the Financials category and choose the Intercompany Hours Report

This report shows:

  • Person Workplace: the subsidiary where the person is based

  • Budget Subsidiary: the subsidiary that owns the budget

  • Worked Time: total hours tracked

  • Billable Time: billable hours tracked

By default, the report is filtered to show only time logged this month where Intercompany Hours = Yes, grouped by Person Workplace and Budget Subsidiary.

You can adjust the date range and filters as needed.

Creating a Custom Intercompany Hours Report

If you need more flexibility, you can build a custom report from the Time Entry data source.

To create a custom report:

  1. Navigate to Reports > From Scratch > Time Entries

  2. Click Add filter, select Intercompany Hours, and set the filter to Yes

Group by Subsidiary

You can group the report by:

  • Person Workplace: the subsidiary where the person is based

  • Budget Subsidiary: the subsidiary that owns the budget

  • Both the Person Workplace and the Budget Subsidiary: groups the report by the combination of the person’s workplace subsidiary and the budget’s subsidiary, showing each cross-subsidiary pairing separately.

Example: Employees from the Canadian subsidiary tracked 12 hours on budgets from the Belgian subsidiary this month.

Drilling Down into Details

You can drill down into any grouped data to see individual time entries, including:

  • Notes

  • Tasks

  • Cost

  • Person details

This allows you to review the exact hours logged and verify the data.

When Are Hours Flagged as Intercompany?

Hours are automatically flagged as Intercompany Hours = Yes when the person's workplace subsidiary differs from the budget's subsidiary.

  • Person Workplace ≠ Budget Subsidiary → Yes

  • Person Workplace is empty → No

  • Budget Subsidiary is empty → No

  • Person Workplace = Budget Subsidiary → No

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