WIP & Accruals Window

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WIP & Accruals Window

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The WIP & Accruals Window

Overview

This is the screen where the job data is loaded and the work in progress for the month is evaluated. In addition to selecting the WIP & Accruals settings to process your work,

there are a number of columns that can be selected to view in the WIP & Accruals window

and use the filters on the left-hand side to select the jobs you wish to view

Set Columns

In addition to selecting the WIP & Accruals settings to process your work, there are a number of columns that can be selected to view in the WIP & Accruals window by right-clicking and selecting “set columns”:

The list of columns available is listed below.

Note: The first column is a fixed column - showing your tree list with clients, jobs and grouping. you are not able to change the first column. You may choose the contents of the other columns and display them in a sequence of your choice.

Column Headings	Definition
AC/ OC	Author’s Corrections / Our Corrections
Accrual	accruals based on external costs of outstanding POs or implied costs on external kinds
Amount quoted	Total value on accepted quotes
Budgeted cost	Budgetted (internal and external) cost for the job- based on the accepted estimate
Cost this month (inc oncosts)	Total in-house and external costs for the month
Cost to date	All costs (total) incurred since the job began - up until and including the current period.
Cost types	Displays type of cost eg timesheets, item charges, supplier invoices, general charges, no costs, external timesheets, outstanding POs
Currency	Currency used
Current external cost	supplier costs related to the current period's W&A process
Current external value	value of supplier invoices related to the current period's W&A process
Current in-house cost	cost of inhouse hours related to the current period's W&A process
Current inhouse value	Total in-house value related to our current period’s W&A process (in-house portion of prior value + value this month)
Ext cost to date	cost of supplier invoices to date
Ext time cost	cost of external time to date
Ext time value	value of external time to date
External WIP cost	cost of external WIP made up of supplier invoices and payments (do not credit)
External WIP value	Current WIP value (external); made up of Supplier Invoices + Markup, and Payments (don’t Credit) applied to a client job
Future invoiced	client invoices issued after current period
Future value	Total value in future periods - use this when status is *DEAD to make an informed decision on the job’s WIP values
IH cost to date	cost of inhouse timesheets to date
Income recognition	'yes' indicates if income recognition applies to a job
Inhouse WIP cost	Current WIP cost (in-house); cost of time sheets / items / general charges
Inhouse WIP value	current value of (inhouse): timesheets, items and general charges
Invoiced this month	Total billing this month; amounts invoiced in the current period
Invoiced to date	Year to date invoiced
Invoiced value	Current value billed to client; the invoiced value may be less than the Total Value. eg if we did $900 worth of work on a job, but billed $1200 as quoted
Job Division	the division the job is linked to
Job status	status of job
Job/Kind	Fixed - the data is sorted by jobs
Oncost to date	Total oncosts for Talent only: (super, W/C, payroll tax) up until and including the current period
Outstanding POs	value of POs which are outstanding
Phase	the phase on the job
PO cost to date	Total PO amount for purchase orders dated on or before the end of the current period for a KIND code
POs this month	Total PO for the month under review
Pre Billings	Current pre billings; invoices not to be recognized yet in the Profit & Loss
Prior cost	Past period costs which were brought forward
Prior Value	Past value which was brought forwatd
Reversals	Pre- billings in the prior period + any invoiced value related to prior period results +any invoice value related to past period expenses that have been reversed in the current period.
Unbilled value	the difference between the value of work done and the amount invoiced
Value this month	Total in-house and external value generated in the current period.
Value to date	total in-house and external value generated to date
WIP value	Current WIP value; both internal and external value; the value to the balance sheet to be billed
Written off	WIP written off
Written on	Current billings being written on (billings that are extra profit); Invoiced amount > Value generated. Only when the job is dead or complete

Configure Filters

Filters are used to display groups of jobs for display - it makes the WIP review process easy.

A number of filters can be employed, by selecting the required information down the left-hand side of the window. Some are familiar. Others are new concepts. Once decided, these can be hidden (click on the Hide filter icon) to provide more working space with the WIP & Accruals window:

Select Jobs Lists

The default list is “All Jobs”.

Use the “From Job code” to “To Job code” to view a range of jobs.

When you click on the drop-down icon, you can select other job lists that have been “shared”. A useful option when you wish to review a list of sub-jobs and master jobs.

Include ticked jobs

When you have reviewed and “confirmed” some jobs, click on the “reload icon” to remove “confirmed ” jobs from the list.

However, if you still wish to view the “confirmed” jobs, tick the “include ticked jobs” option.

Job Division

If you have more than one division, it is practical to be able to view jobs for each division.

Job Types

Use this filter if you wish to view jobs grouped by job type.

TABS can be created to review selected job types eg retainers or media

Job Status

Use this filter to view jobs by “status” - this is used when TABS are created. It is easier to view jobs bt status - decision making is easier.

Cost Types

An example - if “No costs” is selected, this will include h=jobs on which no costs have been incurred (eg jobs invoiced up front)

Cost Types	Definition
No Costs	If selected will include Jobs on which no costs have been incurred (eg Jobs invoiced upfront)
Timesheets	If selected will include jobs which have inhouse timesheets
Item charges	If selected will include jobs which have item charges
General charges	If selected will include jobs which have general charges
Supplier invoices	If selected will include jobs which have supplier invoices
Establishment fee	If selected will include jobs which have establishment fees
External Time sheets	If selected will display jobs which have external time sheets
Outstanding POs	If selected will display jobs which have outstanding POs
Bank Transfers	If selected will display jobs which have cost due to bank transfers
Other	If selected will display jobs with other costs

Includes

An example is when “include - No Values” is selected, it will include jobs on which no values have been incurred (eg a “do and charge” job where work has not started yet.

Legend

For ease of recognition, job information is didplayed as colour coded as follows:

Legend	Definition
Amended	The information has been changed - it is not the original info which was calculated by JobBag
Cancelled Job	A cancelled job appears where there may be implications such as writing off timesheet value
Completed Job	A completed job appears where there maybe implications for outstanding POs and writing off timesheet value
Dead Job	A dead job appears where there may implications such as writing off timesheet value
No cost	Costs have not been incurred on the job
Unchanged	This job is unchanged since the last time WIP & Accruals was run last month
*- an asterist	has future period transactions

Create TAB Sheets

Tabs can be set up for job types, divisions, etc.

An efficient way to review your jobs is to classify them by job status. Create TAB sheets for each job status - the process is similar to that of creating “sheets” in a spreadsheet. The recommended sequence of TABS is:

Proposed	It is worth reviewing this list of proposed jobs; Question to ask - how long has this job been proposed and how much time has been spent on these jobs - is it reasonable?
On Hold	Review this list - is the time spent on these jobs reasonable? will the value on these jobs be recovered
live	Start with live jobs; if you change the status of a “live” job to “complete” or “dead”, this job will be moved to either the “complete” TAB or the “dead” TAB - where you will be able to review it and “confirm” it. Questions to ask when reviewing “Live” jobs: When you compare value on the job to the Quote value, “are you within the budget? Do you expect a loss on this job?” and if yes, it may be prudent to do some write-offs.
Cancelled	Review this list - is the unbilled value excessive?
Complete	For example you are reviewing April WIP and you made a job complete. If the job does not have transactions after April, the job status will be 'Complete'. The question to ask “Can you make the job dead? If the answer is “no” - are you expecting some more timesheet costs or supplier costs? How will these extra costs impact on the job’s profits? Jobs cannot be classified as “dead” if there are outstanding POs. Ensure these outstanding POs are really outstanding i.e. supplier invoices have been received and processed - but the PO has not been updated
Complete*	For example, you are reviewing April WIP and you made a job complete in May. However, the job has transactions after April. Therefore, the status will be COMPLETE. When the status is COMPLETE - please review the impact of future transactions on the April WIP and make the appropriate adjustments for pre-billings, WIP etc. Please include the columns of “future invoiced” and “future value” when reviewing these jobs. The information in these two columns will give you an idea of the WIP adjustments you make to the job. The other option is to view the information on the 'financial' TAB
Dead	The job was made “dead” in the current period and all transactions are in the current period or past. Review the write-offs and 'write ons' on these jobs to ensure that these are reasonable.
Dead*	the * indicates the job was made dead in a future period and it has future dated transactions. Therefore JobBag will not classify the job as “dead” as at the end of the current period and amounts will remain in pre-billings, WIP, etc. Please include the columns of “future invoiced” and “future value” when reviewing these jobs. The information in these two columns will give you an idea of the WIP adjustments you make to the job.
Unconfirmed jobs	As you go thru the tabs starting with the “live” jobs TAB, in this TAB will appear Jobs that have not been confirmed yet.
Specific Jobs	Use this TAB to select and review one or more specific jobs. Refer to the screenshot below. Note the selection of “Specific Jobs” from the drop down list of jobs

TABS can be used to review selected job types eg retainers, media or selected divisions.

Additional Operations (Top menu bar)

As the user works their way through the jobs, the following operations are available:

Hide filter	When the filter options have been selected, use this option to hide the filter options to provide more working space with the WIP&Accruals window
Reload	while reviewing and “confirming” jobs, click on 'reload' to refresh the list - you then get a list of the remaining jobs which require 'review'
Recalculate WIP	Runs teh automatic WIP logic which updates your WIP data with the latest information entered. Holding down the ALT key will reevaluate all W&A data.
Print	Click to access the screen to select reports
Settings	Click to access settings menu

Additional Operations (bottom menu)

Change Default WIP Level Setting for a job

In the 'WIP and Accruals settings” screen, the WIP calculation basis is set for all jobs. The recommended setting is “By phase/category”

However, when reviewing a job, it may be necessary to view the WIP calculations at a more detailed level. Highlight the job and click on drop-down options.

Select a new WIP level from the drop-down list:

In this example, select “By phase/kind or node” and the following message appears. PLEASE READ IT SLOWLY. Click on “yes” to reset W&A decisions on the job.

The WIP level has been reset for this job.

Note: You can change the levels on this job anytime.

Reset WIP Calculations

Let's assume you have been reviewing a job and making changes to the amounts calculated by JobBag. After a while, you decide you would like to reset the job's WIP data to the original calculations.

You can click on the 'Reset“ tab.

There are three options.

Option 1 WIP data for highlighted data: “reset Job No ....”

Please slowly read this message slowly and answer carefully

Option 2 Reset selected jobs

Create a list of jobs which you wish to reset

Select “Reset selected jobs”

Please slowly read this message slowly and answer carefully

Option 3 Reset all jobs

When the following screen appears please be certain you wish to reset ALL jobs

Please slowly read this message slowly and answer carefully

Apply to the GL

When the job's WIP has been reviewed and “confirmed”, click on “Apply to the GL”. You can apply to the GL, review the GL results, make amendments to the WIP data, and then reapply to the GL. This process can be repeated as many times until the data is rolled over into the new financial period.

When you click on “Apply to the GL” the following error message may appear. Follow up error messages and reapply to GL.

Revert

Highlight a job and click on 'Revert' to reset a job's date to the last confirmed state '

Confirm

When the WIP values on the job have been reviewed and amended (if required), you then “confirm” the job. This process tells the system that the values on the job are to be used to generate the GL entries. You can “confirm: and then “unconfirm” a job and make changes until the data is rolled over to the next period.

There are two ways to “confirm” the job.