Project Invoicing

In IEM Project Invoices are created from the Project Billable Lines and Project Billable Lines are created based on the Invoicing Method.

In IEM the invoicing method is not only set per Project but can also be set per Project Task. For example the Project was created with a Fixed Price. During the execution of the Project one or more Change Orders can be added which were not included in the Fixed Price and instead of changing the Fixed Price project tasks are added for the change orders with a Time & Material invoicing method.

1. Project Billable Lines

  • Can be opened from the Project card, showing all Billable lines for the Project or from the Project Task showing the as Billable Lines linked to that Project Task.
  • Can be split between Bill-to Customers, refer to Split Billing in Sales and Marketing.

The Invoicing Method is set by selecting an Invoice Template on the Project Card or on the Project Task.

2. Invoicing Methods

JMS supports the following Invoicing Methods:

2.1. 1. Time and Material

When usage is posted to the Project a Project Billable line is created. These lines are created automatically.

2.2. 2. Deliverable

When the Invoicing Method is Deliverable, the Project Billable lines are created when a planning line with the application type deliverable is posted. Besides the Billable Line a Posted Delivery will be created which has a similar function as a posted sales shipment.

2.3. 3. Fixed Price

When the Invoicing Method is Fixed Price, the billable lines are created with the Initialize Fixed Price Billing action available from the Project Billable lines page.

  • When the Project Billable lines page is opened from the Project the Initialize Fixed Price Billing action breaks down the Project Contract amount specified for the Project.
  • When the Project Billable lines page is opened from the Project Task the Initialize Fixed Price Billing action breaks down the Project Contract amount specified for the Project Task.

This action creates billable lines based on the invoicing schedule as per the selected invoice template.

Fixed price type billing for Projects supports the following scheduling options which is set on the Project Card: Fixed Price Billing Type:
Notes These options are only available for the Project Billing lines. Project Task Billing Lines are only broken down as per the schedule in the Invoice Template and linked to the Project Task.

  • Scheduled, Invoicing is based on the schedule as set in the Invoicing template. The Billable lines will be linked to the Project Task as set on the Project Card. The Base for Invoicing must be set to Invoicing Date. Once created you can set the Invoicing Dates as per the agreement with the customer.

  • Milestone, Invoicing is based on the schedule as set in the Invoicing template. Before the Billable lines are created the user must select Project Tasks of the type Milestone for each of the suggested Billable lines. The number of Project Tasks of the type Milestone cannot be less than the number of suggested Billable lines. The Base for Invoicing must be set to Starting Date or Ending Date. When created the project task starting - or ending date will be copied to the invoicing date on the Project Billable Line.

    • When starting the Initialize Fixed Price Billing action for a Milestone based Fixed Price first the Select Milestone Project Tasks pop-up must be completed.
    • The pop-up shows the schedule lines and you must select the Project Task No.
    • The Project Task field filters on the Project Task Type: Milestone.
    • After completing and confirming the pop-up the Project Billable lines will be created.

  • Progressive, Billable lines are created as described for Milestone. Before creating the Sales Invoice from the Billable lines the billing percentage can be adjusted based on the actual Cost Completion % and Progress %. The Base for Invoicing must be set to Starting Date or Ending Date.
    Notes This function assumes that the billable lines are invoiced in the scheduled sequence, you cannot skip a line.

The following fields are shown in the Project Contract Progress % Change pop-up:

  • Select Forecast Version: cost completion - and progress% are calculated in the Forecast. Select here the forecast version you want to use for setting the new billing %.
  • Cost Completion %: is calculated as Actual Cost compared to Budgeted Cost.
  • Progress %: is calculated as Actual cost compared to Forecasted Total Cost.
  • Latest Billing %: shows the total % of the contract amount invoiced so far.
  • Line Percentage: shows the percentage from the current line, when the user adjusts this percentage the New Billing % is calculated to show the new total % billed. This % is copied to the Project Billable line when the pop-up is closed.
  • New Billing %: When New Billing % is updated the Line Percentage is calculated as the difference between New Billing % and Latest Billing %

3. To create a Sales Invoice from a Project Billable Line

You can create a sales invoice, or credit memo, from project billable lines page:

  1. Choose the Lightbulb that opens the Tell Me feature icon (Alt+Q) enter Project Billable Lines, and then choose the related link.
  2. In the header of the Project Billable Lines page you can use the Project and Project Task fields to filter on a specific Project or Project Task. These filters are automatically applied when you open the Project Billable Lines from the Project or from the Project Task.
  3. On a project billable lines page choose the Create Sales Invoice action.
  4. On the Project Create Sales Invoice page, enter the posting date and whether you want to create a new invoice or append this invoice to an existing one.
  5. Choose the OK button.
  6. To open the Sales Invoice: on the Project Billable Lines page, choose the Sales Invoices action.
  7. The Sales Invoice page opens, showing the quantity and amount that you have transferred to the invoice.
  8. Make any additional changes to description, and then choose the Post action.

Notes The above procedure is similar for creating, reviewing, and posting a project-related sales credit memo.

Invoices are created based on the following rules:

  • JMS makes it possible to have multiple Bill-to customers per Project. However you cannot select Billable Lines for multiple customers to automatically create multiple sales invoices, an error will be shown. You have to create a sales invoice per customer.
  • When creating sales invoices based on an invoicing schedule (like milestones) the invoicing date is important. When selecting billable lines for multiple invoicing dates a warning will be show.
  • Billable lines can be added manually where a Bill-to customer can be selected from the Project Customer list. The sell-to customer is always the principle customer for the Project.

4. See Also

Invoice Templates
Sales and Marketing

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