You might see some interesting differences between the Total Billing and Write-Ons/Offs in XPM or your DI Dashboards compared to your WIP figures. This is because XPM handles billing in a unique way. Some billing comes from WIP and leads to Write-Ons and Write-Offs, while other types of billing, like deposits or interim invoices, don’t come from WIP. This document explains how XPM processes different parts of billing.
Key Billing Components:
Billing from WIP
Time WIP: Represents invoiced hours.
Disbursements: Involves invoiced disbursements or job costs.
Additional Time: An additional invoice task line item added to an invoice with existing time or disbursement WIP. XPM categorises this as a Write On.
Additional Disbursements: Similar to Additional Time but pertains to invoice cost line item instead of invoice task.
Billing from Non-WIP
Interims: These are advance payments or retainers that are either added or applied to specific projects. XPM categorises these as interims or deposits.
Interims Added/Deposits Raised: Initial invoices received as advance payments.
Interims Applied/Deposits Absorbed: Amounts applied to WIP during WIP Wash-Up when the related work is finalised.
Other Non WIP Billing: Any other non WIP billing, usually minimal.
Miscellaneous Billing: These are the types of invoices that are not tied to any specific job.
In Summary:
Only Billing from WIP can be adjusted using Write-Ons and Write-Offs. For Interims, including those Raised and Absorbed, manage them carefully. Make sure Interims are applied to WIP when needed; if not, clear the related WIP to keep your data clean and accurate.
By effectively understanding how the billing from your firm translates into data in XPM. You can then manage the WIP and Write Ons/Offs more effectively. This means your data will be clearer and more precise, allowing you to gain deeper insights into your financial performance. With better data accuracy, you'll be able to forecast future trends more effectively and rely on more dependable reports and in turn, will empower you to make well-informed decisions that will drive your business forward.
Our Solution
To better accomplish this, we’ve developed solutions to complement the existing dashboards. Dashboard Insights offers three new dashboards to give you clearer and more detailed control over your billing and financial data.
Billing Composition Dashboard: This tool helps clarify where your billing originated, distinguishing between WIP and non-WIP components. It provides insights into the composition of your invoices, including the impact of Write-Ons and Write-Offs.
Revised Write Ons/Offs Dashboard: This updated dashboard reconciles write-ons/offs with your overall billing figures. It now includes both WIP and non-WIP billing, giving you a comprehensive view.
WIP Wash Up Calculator: This dashboard displays unbilled interims and time or disbursement WIP. It simulates the figures if reconciled using the “Remove from Invoice List” feature in XPM.
If you have any questions or need further assistance, feel free to reach out to us at [email protected].