Editions: AEC Only
CMap’s Spring 2022 release has introduced the new Fee Inclusive billing type, which will enable you to work in a new way. You’ll be able to set and manage one overall Fee from the Client, from which both your Fee and the fees for Externals are combined.
This new billing type also gives you the ability to build in "contingencies" through the adjustments in your Fee Plan section, which will allow you to keep back an element of the Project’s Fee where necessary.
In this article, we’ll look at:
- Where to find the Fee Inclusive option
- How this billing type differs from the other options
- Fee Inclusive Invoicing
Where can I find the Fee Inclusive option?
You will find the Fee Inclusive option within either the Add External or Edit External windows.
After setting this billing type, you add the External in the same way you would as the other two billing types. You set your overall External Cost and Sale value, then the Stages required for the External.
So... what’s different about this billing type?
The difference in this billing type is in how your Fee Estimator and Fee Plan functions.
A new column named Fee Inclusive Externals should appear in your Fee Plan between the "Expenses Allowance" column and the "Fee Plan Budget” column.
After creating the Fee Inclusive External against the Phase 3 Stage, the Fee Inclusive Externals columns displays the 2,000 Sale value of the External, which is then included within the Fee Plan Budget calculation.
Fee Plan Budget = (Fee – Fee Inclusive Externals – Retention Amount – Expense Retention Amount)
The change in the Fee Plan Budget calculation will also flow across to the "Profit Estimate %".
Profit Estimate % = Res. Profile Budget + Expense Retention amount / (Fee – Fee Inclusive Externals)
Fee Inclusive Invoicing
As this billing type is incorporated into the Stage Fees, then there will be no External line for any Fee Inclusive Externals within the Invoice Schedule.
Hopefully, you now understand the how Fee Inclusive billing differs from the other options available to you. This new way of working will allow you to combine your overall Fee and Externals, allowing you to manage a Client’s Fee more efficiently. Also, the ability to build in “contingencies” will be a valuable tool when building your Project’s Fee.
Want to learn more? Watch a short video here.