Learn more about the Budgeting and Profitability sections of your budget, as they provide insights into your remaining budget, internal profitability, and overall financial performance.
The Budgeting section calculates the remaining budget as your team members track time. It multiplies billable rates with billable time and subtracts the calculated amount from the total budget.
The Profitability section reflects your internal profitability and will not be visible to your client, even if you give them access to the budget.
It is calculated by multiplying employees' cost rates per hour by the hours they've tracked. The profit margin is determined by comparing the billable rate against the employee's cost rate and the total tracked time.
Additionally, it's important to note that not only does time tracking impact the remaining budget and budget profitability, but expenses can also influence the budget. For more details on expenses, check here.
Tip: Make sure you keep all the financial information (services, expenses, discounts) in the budget accurate and up to date. Otherwise, your profit and revenue figures won't show the real balance!
Finally, besides the invoicing section, you'll also see a collapsable "Show financial chart" section there as well.
For more information on forecasting and profitability charts, click here!
