Tentative bookings generate recognized revenue in Productive. The system treats them similarly to confirmed bookings in terms of revenue calculation, but not in terms of priority.
π Find out more about revenue recognition in Understanding Revenue Recognition in Productive.
How It Works
When Productive calculates recognized revenue for future bookings on a service, it looks at all bookings (both confirmed and tentative) but always processes them in a specific order:
Confirmed bookings are recognized first. Tentative bookings follow.
This ordering is applied per service. Confirmed bookings accumulate against the budget cap before any tentative booking is considered.
Does billing type make a difference?
Yes, the same rules that govern confirmed bookings apply to tentative ones:
T&M without a budget cap β all future booked time generates revenue, regardless of booking status. Since there's no cap to exhaust, the confirmed-first order doesn't have a practical effect here.
Fixed and T&M with a budget cap β confirmed future bookings consume the cap first. Tentative bookings only generate recognized revenue to the extent the cap hasn't already been reached. If confirmed bookings alone exhaust the cap, tentative bookings will show a recognized revenue of β¬0.
Example: Fixed service, β¬10,000 budget
Booking | Status | Booked value | Recognized revenue |
Anna β October | Confirmed | β¬8,000 | β¬8,000 |
Mark β November | Tentative | β¬5,000 | β¬2,000 |
Total |
| β¬13,000 | β¬10,000 |
Anna's confirmed booking is recognized in full first (β¬8,000). That leaves β¬2,000 of the budget remaining. Mark's tentative booking is worth β¬5,000, but only β¬2,000 is recognized β the rest exceeds the budget total.
π Mark's booking still exists as a record in the system with a recognized revenue of β¬0 for the portion beyond the budget total. It is not removed or ignored.
If Anna's confirmed bookings had consumed the full β¬10,000, Mark's tentative booking would show β¬0 recognized revenue entirely.
There is no setting to exclude tentative bookings
Currently, there is no option to prevent tentative bookings from participating in revenue recognition. If confirmed bookings alone exhaust the budget total, tentative bookings will recognize β¬0 automatically, no manual adjustment needed.
