When a time recording entry is created, it is possible to record the internal cost associated with that time. The internal cost represents the time recorder's wage, rather than their charge-out rate. 

Recording internal costs against each individual time entry allows more accurate and meaningful profitability analysis, at a granular level.  

Configuration

The Time - Internal Cost feature, located in Modeller > Global Features > Finance, must be enabled in order for the internal cost to be captured when time recording. 

Within the global feature, default internal hourly rates may be configured. A rate per active currency on the database may be set. The default rates will be used for any user for which an internal rate has been created.  The internal cost rates are configured via a rate card, which internal rate card to use is  configured within this area. 

Please note, an internal cost rate card will likely already exist on your database, however, should you wish to create a new one then this is done from the Goods and Services global feature. You must ensure the item type category is set to be an internal cost rate item.

When time is recorded, the internal cost will be recorded as a transaction in the chart of accounts. Which account the transaction should be posted to is set within the Time - Internal Cost Feature, along with the equivalent posting status for each of the time statuses.

Once an internal rate card has been created, the rates for that type are configured with Admin>Finance>Internal Costs.

The internal costs rates are determined by a users job role. For example, a partner's internal cost may be £80.00 per hour, whereas a trainee may be £20.00 per hour. Optionally, a firm may also choose to create rates for specific people, i.e. Wendy is a partner, the default rate for a partner is £80.00 but the rate for Wendy is £82.00 an hour. Using the below example rate record, all partners time recording would have an internal rate of £80.00, yet Wendy has a specific rate of £82.00 set up and therefore this will be used rather than the default. For the user specific rates to be valid, they must be configured against the correct job role for the user, i.e. if Wendy's job role was not a partner than the rate record below would not be applied.

Once rates have been configured, any time recording done will record the internal cost in the Chart of Accounts. 

Please note, as the internal cost is a sensitive information, whether internal costs are visual to a user is controlled via permissions.