In Workamajig, there are two kinds of estimates. There is a Campaign-based estimate and a Project-based estimate. In this section, the project-based estimate will be discussed.
Why create an Estimate? This allows you to set a target for the work that you will perform for the client. This can then be used for future reference as a way to see if client proposals are correct, if the roles and assigned hours are defined correctly, and where your budget bottlenecks.
The idea of the project estimate is to allow you to provide an estimated target of labor and expenses for the project. You are able to create as many estimates as you want on the project. Once an estimate is approved, this will be used by the project as the Project Budget.
In the estimate screen you are further able to differentiate your estimates by checking the Change Order box. This will allow you to track changes in scope to the project. All estimates without this checked will be considered "Original" budgets. All estimates with this checked will be considered "Change Order" budgets. This allows you to analyze the current budget, original budget, and change order budget.
To gain the most benefit from Workamajig, we recommend that your estimating be based upon your defined timeline and labor roles (Task and Service).
As the project estimate can be preset on your project templates, you gain the added benefit of creating project type based estimates.
Add a Project Estimate
From Menu > Project > Projects, open (double-click) the desired project.
From Project Central, select Budget, then select the Estimate tab above.
- All existing estimates for the project will appear in the grid located on the right of the screen.
Select the plus sign to add a New Estimate.
There are four sections to estimates: Header info, Labor details, Expense Details, and Settings.
Enter the Project/Estimate Header Information
Estimate Name: Enter a required name for the estimate. By default the Project name will be used.
Change Order: Check if this is a change order estimate. Leave unchecked if a regular estimate. By default this is unchecked.
Estimate Type: Select the estimate type as described below:
NOTE: New estimates are set to the default estimate type of By Task And Service.
By Task and Service: Set by default. Based upon the scheduled tasks that are tracking budgets and expenses, this type allows you to select when and where each Role will participate in the project. Expenses will also be tracked to specific tasks. Benefit: It allows you to push assignments to specific people on specific tasks. Also, it provides most reporting detail. The labor billing rate is based upon project setup settings.
By Task Only: Based upon the scheduled tasks that are tracking budgets and expenses, it allows you to enter the number of hours and a blended rate on each task. There is no connection to specific labor Roles. Expenses will also be tracked to specific tasks. Benefit: allows you to create a # of hours and $ amount per task estimate.
By Service Only: Based upon the designated labor Roles for the project, allows you to enter number of hours per Role. There is no connection to a specific Task for labor. Expenses can be tracked to specific tasks. Benefit: allows you to create an Role level estimate. Labor Billing Rate based upon project setup settings.
By Task and Person: Based upon the scheduled tasks that are tracking budgets and expenses and designated project team members. Labor is calculated based upon the person and has no connection to Roles. Expenses and Labor are tracked to specific tasks. Benefit: allows you to create a # of hour and $ amount per person and task. Labor Billing Rate based upon Billing Rate set on staff/freelance record.
Internal Approver: select person that will approve estimate for your company. Default is Account Manager from project
Internal Approval Due Date: if Internal Approver is set to a person other than the Account Manager, this allows a due date for the approval process to be set.
External Approver: select contact at Client company responsible for approving estimate.
NOTE: If a name is entered, that person must approve the estimate for the estimate to be fully approved. Most will leave this section blank.
Enter the Labor details
While you can key in all the details manually, the way is to have the schedule built prior to creating an estimate. So if your schedule is full of Tasks, with Services assigned and with Allocated Hours. Then using the Pull From Schedule button at the top of the estimate will streamline this process to the push of a button.
For more on this feature, please refer to the Pull From Schedule guide.
Enter the Expense details
Each expense on a project is entered as a separate item in the estimate. You can tie each estimated expense to either an item or a task depending on the options selected in the system.
To add a new expense:
- In the Task box, enter the task on the project to relate this estimate to. This may be required depending on your selected options.
- In the Item ID box, enter the item ID to tie this expense to. This may be required depending on your selected options.
- In the Vendor ID box, you can enter the vendor ID for the company that you will purchase this item from. This is not required, but makes generating purchase orders from your estimate faster later.
- In the Class ID box, you will need to enter a class ID if a class is required on your purchases. If you do not require a class on transactions, you do not have to enter this. The Class ID gets transferred to the Purchase Order when you generate a PO from an estimated item.
- Enter a Short Description of the expense.
- Enter a Long Description of the expense if you wish to relate more explanation of the expense to a client on the estimate.
- Select Tax 1 if the sales tax 1 applies to this expense.
- Select Tax 2 if the sales tax 2 applies to this expense.
- Select the Billable option if this expense is billable to the client.
- If you have selected Allow Multiple Quantities on the estimate, you will see one set of boxes for Quantity, Unit Cost, UOM, Net, Markup, Gross for each option. If you have not selected the multiple quantity option, you will see only one set of boxes for the amounts.
- Click Save to save the expense to the estimate.
Verify the Settings of the Estimate
In the Primary Contact drop down, select a contact name that this estimate is for. This field allows you to select address from the contact when printing the estimate.
In the Estimate Date text box, enter a specific date you would like to appear on the estimate. If this is left blank, the system will use the date when it is printed.
In the Delivery Date text box, enter a delivery date for this project. If the date is left blank, it will not appear on the printed estimate.
From the Layout drop down, select from the Layout Defined under the Menu > Admin > System Setup > Time and Billing > Estimate Layouts.
From the Sales Tax drop down, select a value from the Sales Tax Codes defined in the system setup
From the Sales Tax 2 drop down, select a value from the Sales Tax Codes defined in the system setup. The sales tax setup on an estimate works the same as the sales tax on an invoice.
Use the Labor Taxable drop down to select if labor should be considered taxable on this estimate. You can select:
- Not Taxable to exclude labor from the tax calculation
- Taxable by Task to have the system look at each task to determine if that specific task is taxable.
- Taxable by Project to have the system consider all labor as taxable on the project.
- Use the lookup to select an Internal Approver for the estimate. There must always be an internal approver, but not necessarily an external approver. If no external approver is selected, the estimate is automatically approved when the internal approver approves the estimate.
- Once the Estimate has been sent for internal approval, you can enter a due date in the Internal Approval Due Date text box. If you leave it blank, it will not trigger a notification for the estimate being late. If you enter a date and you are subscribed to get the overdue budgets notification, you will receive an email when the due date for this estimate passes and it has not been approved.
- Use the lookup to select an External Approver for the estimate. The lookup is restricted to contacts in the system that work for the client specified on the project. If the person selected has not been granted access to the project, they will be when you select them. After the estimate has been approved by the internal approver, it will be sent to the external approver to review. This person can log onto the system and print the estimate. They can then either approve or reject an estimate with comments. If an estimate has multiple quantities, they will be prompted to choose a specific quantity option that they are approving.
- Once the Estimate has been approved internally, you can enter a due date in the External Approval Due Date text box. If you leave it blank, it will not trigger a notification for the estimate being late. If you enter a date and you are subscribed to get the overdue budgets notification, you will receive an email when the due date for this estimate passes and it has not been approved.
- In the Description text area, enter an optional description for the estimate.
- In the Labor Contingency box, enter a percentage labor contingency that you would like to add to your estimates. The system will calculate a percentage of all labor on the estimate and show this amount as a separate line below the total for the estimate. The text that is show on the estimate is specified in the Estimate Template.
- Select the Allow Multiple Quantities box if you would like to enter different quantity options for your expenses. This option will allow you to enter up to 6 different options for your expenses. In the boxes below, enter the labels as you would like them to appear on the estimate.
- The Estimating Services list show the selected services for this estimate. If you click the pencil, you can edit which services are used and what rate is used for that service.
- The labels Hours,Total Labor,Net Expenses,Gross Expenses and Sales Tax Amount will be automatically totaled by the system.
- Click the Save button.
- Once the estimate has been saved. the contents of this screen will vary according to the Estimate Type and Template that you have chosen.
- The summary shows an estimate profit of just this estimates amounts.
- You can add additional users to be emailed of the Estimates change in approval status.
Approving an Estimate
From the top of the estimate, click the Approve button. This will cause the estimate amounts to reflect in the Project's Budget page and also in project budget reports.