Discount! Discount! Discount! There is something about getting a discount that just feels good as a customer. When you are in the business of making a customer happy, it is a tool you will use from time to time. In this article we will discuss specifically how to discount labor within a project. There are two methods for discounting labor. One method which will deduct a specific amount from the labor total and one method that uses a percentage to determine the discount amount.
The first method for creating a discount for labor is to create a negative labor item. Making the labor price negative is simple, just follow these steps:
Create a new labor item, by clicking the “New Labor Button” on the Home Tab of the Project Editor.
Give the labor item a manufacturer , a model, and a category.
Click on the Price tab.
Check the “Fixed” check box and type the [-] symbol and then the amount you want to discount.
Click “Save and Close”.
This method is useful when you want to discount your client a fixed amount of labor. This negative labor item can be shown within the Proposal just like any other item, however it does show as a discount outside of the labor total in the Project Summary.
Labor without Discount.
Labor with Discount.
The other method is to use a Labor Adjustment. The Labor Adjustment will add or subtract a percentage of all labor, unless otherwise specified. The labor adjustment can be edited in two places.
The first place is the Project Price Adjustment Settings. Within the Project Editor, click the Settings tab and click on the Price Adjustments button.
Within the “Manage Project Price Adjustments” window, input the percentage of the total project labor that you want to be deducted by placing a [-] symbol before the percentage.
The second place to edit the labor adjustment is the Project Phase Settings. The Phase settings are also located on the Settings tab of the Project Editor.
At the bottom of the “Manage Project Phases” window, check the “Override price adjustments for products and labor assigned to this phase”.
This setting will override the Project Price Adjustments for labor or items set to this phase. This is useful when you want to discount the labor on one phase without having to discount labor throughout the whole project.
Unlike the negative line item method, this method will be displayed in the Project Summary.
Project Summary with Labor Adjustment.