Billing Methodology
How invoice amounts are calculated for each rate type.
All rate types use actual workdays (Mon–Fri) in the specific month as the fundamental unit. This ensures proration (partial months) and deductions (absences, holidays, vacation) are always calculated using the same daily value — no inconsistency between how we charge for a partial month and how we credit for a missed day.
Monthly contracts
The monthly rate covers all workdays in the month, including holidays and vacation. The effective daily rate for a given month is:
effective_daily_rate = monthly_rate / workdays_in_month
| Scenario | Formula |
|---|---|
| Full month | monthly_rate |
| Partial month (start/end mid-month) | workdays_in_intersection × effective_daily_rate |
| Absence deduction (per day) | −effective_daily_rate |
- Effective daily rate = $10,000 / 22 = $454.55
- Full month = $10,000.00
- Start Apr 16 (11 workdays) = 11 × $454.55 = $5,000.00
- 1 absence = −$454.55
- Start Apr 16 + 1 absence = 10 × $454.55 = $4,545.45
Note: Holidays and vacation are not deducted from monthly contracts — the monthly rate covers them. Only absences (unplanned, recorded by the resource) result in a deduction.
Daily contracts
The client is billed for actual days worked:
amount = daily_rate × days_worked
days_worked = workdays_in_intersection − holidays − vacation_days − absence_days
| Deduction | Source |
|---|---|
| Holidays | Resource contract's holiday schedule (country-specific) |
| Vacation | Recorded vacation days for the resource |
| Absences | Recorded absences for the resource |
- Days worked = 22 − 1 − 1 − 1 = 19
- Amount = 19 × $400 = $7,600.00
Hourly contracts
Same as daily, but converted to hours:
amount = hourly_rate × hours_worked
hours_worked = days_worked × (weekly_hours / 5)
The weekly_hours value comes from the resource contract (defaults to 40).
A 40-hour week means 8 hours/day; a 30-hour week means 6 hours/day.
- Days worked = 22 − 1 = 21
- Hours = 21 × 8 = 168
- Amount = 168 × $50 = $8,400.00
Key definitions
| Workdays | Monday through Friday (excludes weekends) |
| Workdays in month | Varies per month (e.g. Feb = 20, Apr = 22, Jul = 23) |
| Intersection | The overlap between the contract's active period and the invoice month |
| Holiday schedule | Country-specific holiday calendar assigned to each resource contract |
| Absence | An unplanned day the resource did not work, recorded by the resource or their manager |
| Vacation | A planned day off, drawn from the resource's vacation allotment |