Hourly Labor

Model Summary

The Hourly Labor model is intended for short-term work with your company, or project, for a defined period of time. Laborers defined within this model will not accrue employment benefits or payroll taxes, so these amounts will have to be included in the Hourly Rate field if they apply.

Cost Category

The Cost Category field will determine where this cost will be placed on the income statement, and whether it will be included in specific analytics.

Select a category based on the following criteria:

Cost of Revenue: If this cost is directly used to produce, and provide, your products or services to customers.

Sales & Marketing: If this cost is used to attract, acquire or maintain new, existing or current customers. If Sales & Marketing is selected this cost will be included in the overall Cost of Customer Acquisition.

General: If this is a cost that generally contributes to the overall operations of the business or project, but is not directly tied to customer acquisition or revenue production.

Name or Position

The name of the contractor, or the name of the position that will be filled by a contractor.

Hourly Rate

The Fully Burdened cost of this position per hour.

http://smallbusiness.chron.com/calculate-fully-burdened-labor-costs-33072.html

Hours per Month

The average number of hours this position will be scheduled to work each month.

Onboard Month

The month this position is expected to be hired.

Months of Service

The total number of months this position is expected to stay with the company, or project (the total projection period is 36 months, and any costs incurred beyond this period will not be included in the projection).

+ Add Contractor

Allows you to add another contractor to this cost group.