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Additional Labor Overhead Rate Overhead Hour

  • October 17, 2024
  • 6 replies
  • 82 views
Vernon Anderson
Sidekick (Employee)
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All,

I am working with a client that needs a second overhead rate on the labor class that is based per hour.  I know I can define additional labor overhead cost elements but they are only allowed to be based by unit produced or as a percentage of labor.

Has anyone figured out a way to get the second labor overhead rate to be per hour?  No, I do not want to do a calculation to figure out a rate per piece based on the standard labor hour of the item as that does not account for variations in actual hours during production. Nor is it a percentage of the total labor .

Thanks!!!

Vernon

6 replies

matt.watters
Superhero (Partner)
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  • matt.watters
  • Superhero (Partner)
  • 584 replies
  • October 17, 2024

@Vernon Anderson would the functionality provided by Layered Labor Overheads that was introduced in 21R1 get you what you need? Make a new cost bucket that uses a different posting cost group?

 

If a response resolves your issue, please use "Best Answer" so that the thread can be closed and others can find solutions more easily. Regards - Matt
Abdul
1 person likes this
  • Abdul
    Abdul
Vernon Anderson
Sidekick (Employee)
Forum|alt.badge.img+8
  • Vernon Anderson
  • Author
  • Sidekick (Employee)
  • 41 replies
  • October 18, 2024
matt.watters wrote:

@Vernon Anderson would the functionality provided by Layered Labor Overheads that was introduced in 21R1 get you what you need? Make a new cost bucket that uses a different posting cost group?

 

Thanks Matt.  I will check right now!

Vernon
Vernon Anderson
Sidekick (Employee)
Forum|alt.badge.img+8
  • Vernon Anderson
  • Author
  • Sidekick (Employee)
  • 41 replies
  • October 18, 2024
matt.watters wrote:

@Vernon Anderson would the functionality provided by Layered Labor Overheads that was introduced in 21R1 get you what you need? Make a new cost bucket that uses a different posting cost group?

 

Matt,  what basic data do I need for this to work?  It asks for a cost bucket that contains a 230 element.

Vernon
matt.watters
Superhero (Partner)
Forum|alt.badge.img+25
  • matt.watters
  • Superhero (Partner)
  • 584 replies
  • October 18, 2024

Pared-down slide deck attached. Basics are:

  1. Define a new OH Cost Element using a factor connected to Source Element 230.
  2. Using the drop down arrow add this new cost bucket to the Cost Set(s) in the Labor Class , defining how you want this to be evaluated: 1) Multiply with Evaluation Cost, 2) Add Cost per Hour, or 3) Multiply with LC Rate.
  3. Configure the Site settings of Actual Labor Cost Settings for Direct Labor and Labor OH.

 

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If a response resolves your issue, please use "Best Answer" so that the thread can be closed and others can find solutions more easily. Regards - Matt
Vernon Anderson
Sidekick (Employee)
Forum|alt.badge.img+8
  • Vernon Anderson
  • Author
  • Sidekick (Employee)
  • 41 replies
  • October 18, 2024
matt.watters wrote:

Pared-down slide deck attached. Basics are:

  1. Define a new OH Cost Element using a factor connected to Source Element 230.
  2. Using the drop down arrow add this new cost bucket to the Cost Set(s) in the Labor Class , defining how you want this to be evaluated: 1) Multiply with Evaluation Cost, 2) Add Cost per Hour, or 3) Multiply with LC Rate.
  3. Configure the Site settings of Actual Labor Cost Settings for Direct Labor and Labor OH.

 

Step 3 is what I was missing!

Vernon
matt.watters
1 person likes this
  • matt.watters
    matt.watters
Vernon Anderson
Sidekick (Employee)
Forum|alt.badge.img+8
  • Vernon Anderson
  • Author
  • Sidekick (Employee)
  • 41 replies
  • October 18, 2024
matt.watters wrote:

Pared-down slide deck attached. Basics are:

  1. Define a new OH Cost Element using a factor connected to Source Element 230.
  2. Using the drop down arrow add this new cost bucket to the Cost Set(s) in the Labor Class , defining how you want this to be evaluated: 1) Multiply with Evaluation Cost, 2) Add Cost per Hour, or 3) Multiply with LC Rate.
  3. Configure the Site settings of Actual Labor Cost Settings for Direct Labor and Labor OH.

 

That did it for my site that allows time entry by employee.  Gonna try it in a site that is anonymous

Vernon

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