Margin Estimated ($)
Detailed information for "Margin Estimated ($)".
Finance
Custom
Measure
FBO
Technical Definition
Estimated Margin = Estimated Margin/Hr × Estimated Bill Hours / day (FBO WO field) x Number of work days WO is active Estimated Margin/Hr (Calculated by FBO) = Converted hourly Bill Rate – Estimated Burden/Hr – Converted Hourly Pay Rate – Discount – Rebate – VMS Fee Estimated Burden/Hr = Converted Hourly Pay Rate * Standard Burden factor (based on legal status) Estimated Work Days = Count of work days between Start Date and End Date Estimated Work Hours = Estimated Work Days * Estimated Bill Hours / Day
Business Definition
The metric represents the projected margin of a Work Order. It uses all active Work Orders during the selected reporting period in its calculation. It reflects the projected gross profitability of a transaction before any commission logic is applied.
How to use it
Note
Rules & Criteria:
- Include only work orders with Unit Type = Hourly or Daily. Convert Daily rates to hourly equivalents.
- Use the Billing Hours Per Day field in FBO WorkOrder to determine the expected daily hours for each active work order.
- Exclude work orders with any other Unit Type.
- Exclude Permanent Placements.
- FBO calculates Margin Rate based on the following Employer Burden rate (expandable to various regions later):
- Inc 0%
- Sole Proprietor: 10%
- Temp/T4: 19.50%
- W2 (U.S.): 16%
- Use the work order details at inception time (i.e., when the work order is created).
- Ensure all rate conversions are standardized to hourly for consistency.
Call Out:
This metric is based on estimated values and assumptions at the time of work order creation. It does not reflect actual margin performance or adjustments made post-placement.
ID: 34cd5a13-e26c-4d88-a087-597d23065a85