Table of Contents
- Additional questions
- Can I add many contracts with different salaries and billing models?
- What does "capacity" mean?
- What is the difference between Employee and Contractor?
- Should I input the overall employee's / contractor's cost?
- What does "include capacity cost in employee scheduled budget" mean?
- When should I configure the user as an employee and when as a contractor?
- Should I add all public holidays?
Configuring people's capacity, and the salary
Before planning people's work or estimating projects you need to do a crucial step - configure team members information. Thanks to that our system will help you during the project planning phase.
To configure people's information go to the People tab in the Manager role and click on the chosen person.
Nextly, go to the Settings tab and find the Work row, which allows you to set up:
- the type of team member: Employee or Contractor (The difference between these two types is that the Employee is paid a monthly fixed salary, Contractor, however, is paid per worked hour)
- capacity: number of hours per day and working days. Skip public holidays means that Primetric will not take into account public holidays.
- duration and name of the contract
- salary and billing model (monthly / hourly)
- default hour rate for a client
To add a new contract or change existing one click on the specific cell and fill in fields as below.
Adding people's absences
You can also add absences in the Time off row, e.g. sick leave, vacations, sabbatical leave and many more. To do that click on the chosen cell and set up the duration and name of the absence. You can always change the view between daily, weekly and monthly in the right corner.
Important: Adding people's absences allows Primetric to provide you with more accurate data in terms of people's availability and utilization level.
Adding experience and skills to the team members profile
To add experience and knowledge of tech & soft skills as well as languages go to the Profile tab in the view of the specific team member and fill in chosen fields. In the Profile tab you can add:
- basic information, e.g. name, summary
- information about the position in the organization's structure, e.g. seniority, team, department, position, custom hashtags, and additional notes
- experience, e.g. in the past projects with the information about key responsibilities and history of skills needed to deliver the project
- tech & soft skills with the advancement level
- languages knowledge with the advancement level
Important: Filling tech skills in the team member profile will help you when searching for specialists for a specific project.
Can I add many contracts with different salaries and billing models?
Sure, just set up the duration of the first contract and then add a new one as below. If you change the terms of the contract, e.g. salary - Primetric will automatically take it into account when settling the project's budget or person's work.
Remember: You cannot add multiple contracts that overlap each other by dates.
What does "capacity" mean?
Imagine that you have Bob in your team. Bob is working 8h a day, 5 days a week. His daily capacity equals 8h, weekly 40h, monthly ~160h (depending on the number of days and absences). To summarise, capacity is the number of available hours which Bob has to offer.
What is the difference between Employee and Contractor?
The main difference is in the method of accounting and bearing costs.
When you set up Employee type you declare that you are paying a monthly salary to your team member and it doesn't matter if you planned work for him or not.
When you set up Contractor type you declare that you are paying only for assigned and logged work.
Let's assume that Bob is a contractor, and you pay him 60€ per hour. If you don't schedule for Bob any work in March you will pay him nothing. In the next month, you scheduled for him some work in one of your projects, e.g. 120h in total. If Bob will log 120h you should pay him 120h * 60€ = 7 200€.
Of course, Primetric will calculate it for you.
Should I input the overall employee's / contractor's cost?
It depends on how you want to see your finances. Important is to be consequent and when once you input, e.g. gross cost you should always input gross costs in the Primetric.
What does "include capacity cost in employee scheduled budget" mean?
You can settle with your contractors in two ways:
- paying them only for logged work (see Bob's example above)
- paying them for their availability for you (see John's example below)
Let's assume that John is a contractor, and you pay him 60€ per hour. You also agreed with John that he will be available for you 4h per day, 5 days a week, so his monthly capacity is 4h * 22 working days = 88 h in March.
If you don't schedule for John any work in March, normally you should pay him nothing, but you agreed with John that you pay for his capacity (checked "include the capacity cost in employee scheduled budget" box). This is why you should pay John: 60€ * (4h * 22 working days) = 5 280 € in March.
So, in this case, it doesn't matter if John logged work because you pay for his capacity, not logged work.
Of course, Primetric will calculate it for you ;)
When should I configure the user as an employee and when as a contractor?
Choose employee as an employment type, if:
- you pay your employee a fixed salary every month and it doesn't matter whether he/she is assigned to any project or not (or how many days specific month has),
- you want to see these people in the availability report (the bench report),
- the salary
Choose contractor as an employment type, if:
- you pay your contractor based on tracked hours OR his/her capacity (then it is similar to employee, but it takes into account the number of working days in a specific month),
- you don't want to see these people in your availability report (the bench report)
What if I pay my "contractors" a fixed monthly salary?
Then you should choose Employee as an employment type.
Should I add all public holidays?
No, you don't need to do that. Our system will automatically take into account public holidays based on the organization's default public holidays configuration and calculate people's availability. However, if your employees are located in different countries - you can specify their own public holidays.