Model Summary

Costs forecasted on a per-Employee basis will update based on the total number of employees within a specified Employee group. For instance, if there are a total of 5 employees within an Employee group, then the cost will apply to each of the 5 employees per month. The cost will only apply to Employees that are hired on, or before, the month in which the cost is calculated. The cost will automatically adjust during months when new employees are hired.

To forecast a cost or expense on a per Employee basis you must first specify how much the cost is per year for a single employee. Next, all you have to do is select the employee groups you’d like the cost to apply and click “Save.”

Example: If a cost per employee per year is $240, and there are 3 employees within this group during month 6, then the monthly cost incurred for month 6 will be $60. If during month 7 a new employee is expected to be on-boarded within this group (bringing the total to 4) then the total monthly cost incurred for month 7 will be $80.




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.


Expense per Employee per Year

The total amount of this cost per employee per year.


Credit Terms (Days to Pay)

The average number of days between the day this cost is incurred and the day it has to be paid.


Employee Group

Choose the group of employees to which this projected cost will apply.


Add Employee Group

Allows you to add additional employee groups to this projected cost.