Understanding T and M and Cost Plus Billing Lines
Contract billing lines for T and M define billing terms that are based on the actual costs of goods and services that you use to complete the job. The actual costs for a contract can include payroll-based costs, such as labor and burden, and costs that are not based on payroll, such as equipment usage and materials.
When you set up a billing line on a contract for time and material, your company agrees to bill the customer for the costs of goods and services that are related to the contract, plus any applicable markup amounts, plus any applicable fee.
You enter the payroll-based costs through Payroll and Time Accounting. You enter the costs that are not based on payroll through one of these JD Edwards EnterpriseOne systems: Capital Asset Management, Inventory, or Accounts Payable. You post the transactions for these costs to the Account Ledger table (F0911) in JD Edwards EnterpriseOne General Accounting. JD Edwards Contract Billing uses the transactions as the source for costs related to time and material.
You set up cost plus lines the same way as T and M lines. However, instead of billing the base cost plus markup amounts, cost plus lines bill the base cost plus any applied burdens, plus any specified fee. When you build the workfile for cost plus lines, the system copies both the source transactions from the F0911 records and any existing burdening transactions in the Burdening Detail Ledger table (F52G11) that are associated with the source transactions.