How it works

Project Finance in Worklenz works by connecting your project activities - such as tasks, time logs, and resource assignments - to financial data. This gives you a real-time picture of your project’s financial status.

Calculation Method

Worklenz offers two ways to calculate project costs based on your preference:

Hourly Rates

Costs are calculated using estimated hours × hourly rates.

Use this method when your team tracks time in hours.

Daily Rates

Costs are calculated using estimated man days × daily rates.

Use this method when your team plans work in days rather than hours.

Project Budget Settings

Important Notes

Changing the calculation method will affect how costs are calculated for all tasks in the project.

Changes take effect immediately and will recalculate all project totals.

Budget settings apply to the entire project and all its tasks.

How Costs are Calculated

Time-based costs - When team members log time on tasks, Worklenz multiplies the logged hours by their configured hourly rate to calculate the cost automatically.
Task-level costs - Each task can have its own cost, making it easy to see which areas of the project are consuming the most budget.

How revenue is tracked

Billable hours - Hours marked as billable are multiplied by the billing rate to calculate the revenue generated from the project.
Non-billable hours - These hours contribute to cost but are excluded from revenue calculations.

Budget tracking

Worklenz continuously compares actual spending against the allocated budget.
A visual progress indicator shows how much of the budget has been used.

Real-time updates

All financial data updates in real time as team members log work, update tasks, or add expenses. This ensures that the financial overview is always current and accurate.

Financial overview

The Project Finance dashboard provides a summary view including:

Total budget vs. actual cost
Profit or loss for the project
Cost breakdown by task, member, or category