Cost Allocations

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This module looks at the use of Cost Allocations within Workbench.

The Cost Allocations module is a program designed to allocate the balance of costs on a job to another job/s on a specified basis.

Basic premise is:

  • Costs get allocated to a Job through the normal Workbench processing methods. This becomes the "From Job"
  • All these costs or costs included in activities in a specific Activity Group within this "From Job" are transferred to other Jobs. These are the "To Jobs"
  • The transfer is based on specific Cost Allocations.
  • Depending on the sequencing of the Cost Allocations it is possible to transfer costs to a Job which in turn can be transferred to another Job/s.

Summarised Procedure

  1. Maintain Cost Allocations
  2. Generate Cost Allocations
  3. Print the Cost Allocations summary
  4. Post the Cost Allocations
  5. Print the Batch Edit List showing the posting.

Note:

  • All the YTD costs from the "From" Job will be allocated leaving a balance of zero unless Activity Groups are used in which case all the YTD Costs from that group of Activities will be allocated leaving a balance of zero
  • You need to be aware that the receipting activity must also be in the activity group otherwise the transfer can't happen as the entry must be allocated into the activity within the Activity group.
  • The allocation is actually processed when you post the data to a batch and is allocated into the period of the Batch Header. A cost to the "To Job" uses the Activity Code specified in the Maintain Cost Allocations and the recovery from the "from Job" uses this same Activity Code. Both the cost and recovery are treated as transactions in the Cost ledger. (Job Transactions table)