Use Effort to Calculate Cost

    Last Modified On: June 16, 2025

     

    This help article has been updated to reflect the enhancements and new Rate Card feature included in the June 2025 Major Release, which will be available starting June 24, 2025.


    When “Use Effort to Calculate Cost” is enabled in Inspire Planner, task costs are automatically calculated based on the effort and the assigned resource’s hourly rates. By default, this setting is turned off, meaning you will need to enter task costs manually unless you choose to enable it.

     

    When this setting is enabled, Inspire Planner will automatically populate:

    • Salesforce Task - Budgeted Cost = Salesforce Task Planned Effort x Salesforce Task Billable Rate (this is the Billable Rate)
    • Salesforce Task - Actual Cost = Total of (Time Spent × Billable Rate) from related time entries
    • Salesforce Task - Labor Cost = Total of (Time Spent × Cost Rate) from related time entries
       
    • Project Task - Budgeted Cost = Total of (Planned Effort × Billable Rate) for all related Salesforce tasks
    • Project Task - Actual Cost = Total of (Time Spent × Billable Rate) from related time entries
    • Project Task - Labor Cost = Total of (Time Spent × Cost Rate) from related time entries

     

    This automation simplifies cost tracking and ensures consistency between budgeted and actual costs.
     

       

      Understanding How Rates are Applied

       

      How Project Team Billable Rate and Cost Rates are Populated:

      When you create Project Team records for a project and enter values for the Billable Rate and Cost Rate, Inspire Planner will use those rates for the resource’s Salesforce tasks and time entries. If you’ve attached a Rate Card, Inspire Planner will prioritize and use the rates from the Rate Card instead.

       

      If you manually edit the Project Team Billable Rate or Cost Rate after applying a Rate Card, Inspire Planner will respect your manual entries. However, if you later attach a different Rate Card to that Project Team record, the new Rate Card’s rates will overwrite the values you previously entered.

       

      This gives you flexibility to adjust rates manually, while ensuring consistency if you apply a new Rate Card.

       

      When you create Project Team records for a project and leave the Billable Rate and Cost Rate fields blank, Inspire Planner follows a specific order to find the rates:

      • Inspire Planner first checks if a Rate Card is linked to the Project Team. If a Rate Card is attached, the Billable Rate and Cost Rate on the Project Team are automatically populated with the values from the Rate Card.

      • If there’s no Rate Card, it looks for a Resource Profile and uses the Default Billable Rate and Default Cost Rate from there to populate the Project Team Billable Rate and Cost Rate.

      • If the Resource Profile does not have rates defined, Inspire Planner will then reference the Hourly Rate from the User or Contact record as the Default Billable Rate. Note that there is no Default Cost Rate on the User or Contact record—Default Cost Rate is only available in the Resource Profile.

       

      How Salesforce Task Billable Rate is populated:

      When a Project Task is assigned to a resource, Inspire Planner automatically fills in the Billable Rate on the Salesforce Task from the resource's Project Team.

      • Salesforce Task Billable Rate = Project Team Billable Rate

       

      How Time Entry Rates are populated:

      When a resource logs time, Inspire Planner automatically fills in the Billable Rate and Cost Rate on the time entry based on the following:

      • Time Entry Billable Rate:

        Pulled from the Billable Rate on the Project Team record if:

        • The resource (Time Entry owner) has a matching Project Team record and

        • The Task Role matches the Project Team Role.
           

      • Time Entry Cost Rate:

        Pulled from the Cost Rate on the Project Team record if there’s a matching record (same conditions as above).

        • If there’s no matching Project Team record or if the Cost Rate on the Project Team is blank, Inspire Planner uses the Default Cost Rate from the resource’s Resource Profile instead.

       

      What are Rate Cards?

      In project and resource management, a rate card typically refers to a set of predefined rates associated with different types of work, roles, or resources.

       

      A rate card helps define:

      • Billing rates based on factors like resource type, location, skill level, or customer agreements.

      • Cost rates for internal tracking (what it costs your company to employ the resource) vs. billable rates (what you charge the client).

       

      Why it’s useful:

      • Ensures consistent pricing for services across projects.

      • Makes it easier to generate accurate project budgets, quotes, and invoices.

      • Supports more advanced reporting and profitability analysis.

       

      Please note:

      • Your Salesforce System Administrator must first complete the Admin Guide - Resource LWC - BETA - Rate Cards before you can use the Rate Card feature in Inspire Planner.
         
      • The Rate Card feature is currently in beta and may be subject to change.

       

      Create Rate Cards for a Resource

      In this section, you’ll learn how to set up rate cards for your resources.

       

      1. In the App Launcher, enter "Resource Profile" in the Quick Find box and click on Resource Profile.


         
      2. Click on the Resource Profile Name to view the resource's Resource Profile.


         
      3. Click on the Rate Cards tab.


         
      4. Click on New.


         
      5. Enter the rate card details, including the Rate Card Name, Billing Category, Billable Rate, and Cost Rate.

        When a rate card is marked as “Active”, it becomes available for selection when adding or updating project team members.

        Effective Start and End Dates are optional and serve as reference only—they do not determine the rate card’s active status.

        When you set a rate card to inactive (Active = FALSE), Inspire Planner automatically fills in the Effective End Date with the current date. However, if you reactivate the rate card (Active = TRUE), the Effective End Date is not automatically cleared—you will need to remove it manually if needed.

        Click on Save when you are finished entering the rate card details.


         
      6. To add more rate cards for the resource, simply repeat the steps above.


      Define Resources' Default Billable and Cost Rates

      When you add a resource to the project team and do not assign a rate card, Inspire Planner will automatically use the resource’s Default Billable Rate and Default Cost Rate from their Resource Profile.

       

      You can define a resource’s Default Billable Rate and Default Cost Rate within their Resource Profile, accessible from either the Resource Management tab or the Resource Profile tab.

       

      From the Resource Management Tab

      One way to populate or update the resource's Default Billable Rate and Default Cost Rate is from the Resource Management Tab.

       

      1. Go to Resource Management.


         
      2. Go to the Resources subtab.


         
      3. Click the resource’s name, then click the Edit button in the Resource Profile panel.


         
      4. Enter the resource's Default Billable Rate and Default Cost Rate. Click Save to save your changes.

       

      From the Resource Profile Tab

      Another way to populate or update the resource's Default Billable Rate and Default Cost Rate is from the Resource Profile Tab.

       

      1. In the App Launcher, enter "Resource Profile" in the Quick Find box and click on Resource Profile.


         
      2. Click on the Resource Profile Name to view the resource's Resource Profile.


         
      3. Click on the Edit icon beside Default Billable Rate and Default Cost Rate.


         
      4. Enter the resource's Default Billable Rate and Default Cost Rate. Click Save to save your changes.

       

      Please note the following:

      • When you create Project Team records for a project and enter values for the Billable Rate and Cost Rate, Inspire Planner will use those rates for the resource’s Salesforce tasks and time entries. If you’ve attached a Rate Card, Inspire Planner will prioritize and use the rates from the Rate Card instead.

        If you manually edit the Project Team Billable Rate or Cost Rate after applying a Rate Card, Inspire Planner will respect your manual entries. However, if you later attach a different Rate Card to that Project Team record, the new Rate Card’s rates will overwrite the values you previously entered.
         

      • Updating the billable and cost rates on a rate card does not retroactively update any project team records where the rate card has already been applied. Existing project team records will continue to use the rates that were in place when the rate card was originally selected.
         

      • Updating the Default Billable Rate or Default Cost Rate on the resource profile or updating the Hourly Rate on the user/contact record will not update any of the resource's existing project team records. 
         

      • When you update the Billable Rate on a Project Team record, Inspire Planner will automatically update the Billable Rate on the related Salesforce tasks assigned to that resource. This update is handled by the Inspire Planner Beacon, which runs every 2 minutes. You may need to wait briefly for the Beacon to process the changes. Once the Salesforce Task Billable Rate is updated, the Budgeted Cost will also be recalculated based on the new rate.
         
      • When you change the assigned resource on a project team record, and there’s a rate card linked to the previous resource, you’ll need to remove that rate card and select the appropriate one for the new resource. If no rate card is selected, Inspire Planner will use the rates from the new resource’s resource profile. If the resource profile doesn’t have rates, it will then default to the rates on the user or contact record.
         
      • If the Resource Profile does not have rates defined, Inspire Planner will then reference the Hourly Rate from the User or Contact record as the Default Billable Rate. Note that there is no Default Cost Rate on the User or Contact record—Default Cost Rate is only available in the Resource Profile.
         
      • Actual Cost (Time Spent x Billable Rate) and Labor Cost (Time Spent x Cost Rate) are calculated based on time entries. The Billable Rate and Cost Rate on each time entry are pulled from the Project Team at the time the entry is created. If the Project Team rates change later, existing time entries remain unchanged to reflect the rates that were in effect when the time was logged. Only new time entries created after the rate change will use the updated rates.

       

      How to Enable the "Use Effort to Calculate Cost" Setting

      This section will walk you through how to enable the setting to use effort to calculate cost.

       

      1. Click on the Gear Icon at the top right corner and go to Setup.


         
      2. Enter "custom settings" in the Quick Find box and click on Custom Settings.


         
      3. Click on Manage beside Inspire Planner Config.


         
      4. Click on Edit.


         
      5. Check the box for Use Effort to Calculate Cost and click on Save.

       

      Reconcile Data

      Once the setting is enabled, it will start to populate your Cost fields based on Effort and Hourly Rate for new entries. In order for the cost fields to recalculate and populate existing data, you will need to reconcile data.

       

      1. Go to the App Launcher and enter "Inspire" in the search box. Then, go to Inspire Planner Settings.


         
      2. In the section labeled "Reconcile Collaborator and Roll-up Data", click on Reconcile Data.


      Tags

      AdministrationProject PlanResource LWC - BETA

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