Define item price in hours with fixed hour rate

ERPNext Stock/Inventory
1

Good day!
Sorry if it has been asked - I am still so new here and might have not used the search correctly.

All my items are services and pretty much always depend on estimated time for them to complete. Can I define the price for all my items in hours (maybe 2 or 3 different hours - hours of programmer or writer or so) and then have them updated once I update the hour rate?

2

@Ivan

I will suggest you to create different items for different services and add the UOM as ā€œHourā€. Thus, when you update number of items as no. of hours, your total charge of the service will be calculated.

1 Like
3

Thanks, @shachiTakalkar.
I was thinking a little different. I want to make my quotations fast, so I want to make Items like ā€œDevelopment of a contact formā€ (I work in a webstudio), which should be a combination of

  1. designers work - 2 hours
  2. frontend dev work - 2 hours
  3. backend dev work - 8 hours
    I want to be able to build entire quotation with blocks like that.
    Then I do want to be able to increase/decrease the cost of an item by a percent or a custom amount.
    And I do not want the hours to appear in the print/email.
4

I did try product bundles:

  1. Created Development of a contact form item.
  2. Made designer and developer work items, added those to a bundle based on Development of a contact form item.
  3. Added prices for designer and developer work items.
  4. Added Development of a contact form item to a quotation.
  5. I expected to have a price calculated on a basis of bundle components, but that did not work out - I got a 0 as Development of a contact form item had no price associated to it.

Is this bundle way a right way to do what I plan? If so, what am I doing wrong?

5

Hello,

You can use Timesheet for tracking actual hours worked by each Employee. Based on Timesheets of all the Employees, create Sales Invoice.

In the Sales Invoice, you can use Total Time from Timesheet and set Item Name/Description etc. as per your preference.

https://frappe.github.io/erpnext/user/manual/en/projects/timesheet/sales-invoice-from-timesheet

6

Thanks for another option @umair. But we actually demand advance payment and do not work on per-hour basis. I am just looking for a clever way to make a quotation.

Anyway, am I using product bundles in a wrong way? I might have totally misunderstood the concept, so please help me out here :slight_smile:.

7

Product Bundle might not be best tool to manage this scenario. In Product Bundle, packed item must be stock items. But in your case, all items will be of type Services. Here are the steps you should try once in your test account.

8
  1. Create Quotation (for estimated cost)
  2. Create Journal Entry of Advance Payment for the Customer.
  3. Create Timesheets based on actual hours worked.
  4. Create Sales Invoice based on Timesheet.
  5. In Sales Invoice, allocate Advance Amount in the Sales Invoice.
9

I think I manged to confuse everybody even moreā€¦
We are not charging our clients based on hours in Timesheet. Instead we have a fixed price, but that price is based on estimated work time. So I want to connect the price of 1 hour of work to some more specific service item. So I can change just the price of an hour and have all dependent prices updated.