Productive allows you to choose when the revenue from fixed price services will be recognised - as opposed to hourly services, where revenue is always recognised at the moment when the work is done (in other words, when you track time against a service).

To select your desired fixed price revenue recognition method, go to Settings > Revenue Recognition:

Here you can choose between two options:

1. Revenue from fixed-price services is recognised on a single date:

  • If the Budget is still open, the revenue will be recognised on the Budget date

  • If the Budget has been delivered, the revenue will be recognised on the Budget delivery date

2. Revenue from fixed-price services is spread across time:

  • The revenue is spread across the whole length of the Budget, based on tracked time and planned hours from Scheduling


What will this look like in real life?

Let's take a look at a Budget that has a fixed price service, 5 hours worked, 7 more hours scheduled in the future, and a budget start date that is set to April 28:

If the preferred method of calculating recognized revenue is set to single date, the revenue will be recognized for April - because the budget date is set to April 28:

If you're creating a report for a later date, the revenue will not be shown, even though the budget is still open:

But if you deliver the budget:

... the revenue will be reported in the month when it is delivered:

Now, let's take a look at what will happen if the revenue is recognised across time. Again, the budget has 5 hours worked in April and 7 more scheduled in May:

Notice that the date range is in April - so it doesn't take into account the scheduled hours from May. But when the range is expanded, it takes into account both worked and scheduled hours:

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