Customer Case:
The customer wants to understand the difference between the two available rate calculation methods in ON!Track Asset Cost Reporting (ACR). This helps them choose the appropriate rate setting for calculating asset costs according to their business requirements and billing model.
The customer wants to understand the difference between the two available rate calculation methods in ON!Track Asset Cost Reporting (ACR). This helps them choose the appropriate rate setting for calculating asset costs according to their business requirements and billing model.
How does ON!Track work?
ON!Track supports two types of rate settings for asset cost calculations:
Daily Rate
With the Daily Rate setting, ON!Track charges a fixed rate for each Working Day on Site.
The calculation is based on:
Asset Cost = Daily Rate × Working Days on Site
The number of working days is determined using the jobsite's Cost Settings, including configured working days, working hours, weekends, and holidays.
Example:
- Daily Rate = €10 per day
- Working Days on Site = 20 days
Asset Cost = €10 × 20 = €200
Time-Based Rate
The Time-Based Rate setting allows customers to define fixed lump-sum rates based on a predefined period, such as a week or a month.
Monthly Rate
- Customers define how many days are included in the monthly rate.
- A fixed amount is charged for those defined days.
- The calculation restarts at the beginning of each month.
Weekly Rate
- Customers define how many days are included in the weekly rate.
- A fixed amount is charged for those defined days.
- The calculation is applied on a weekly basis according to the configured rate.
This approach is useful when customers want to charge a fixed amount for a defined rental period rather than calculating costs on a day-by-day basis.
Example:
Example Configuration
- Monthly Rate = $100
- Included Monthly Days = 20 days
- Weekly Rate = $35
- Included Weekly Days = 5 days
- Daily Rate in Time based charges= $12
Asset Movement
- Asset transferred into the jobsite: 1 January
- Asset transferred out of the jobsite: 17 March
Note- No Cost location setting, All days are considered as working days
Assume the asset exceeds the configured monthly threshold of 20 days in both January and February.January
The asset remains on site for more than 20 chargeable days.Charge = Monthly Rate = $100February
The asset again remains on site for more than 20 chargeable days.Charge = Monthly Rate = $100March
The asset remains on site until 17 March. Assume that only 2 chargeable days remain after applying the monthly and weekly rate rules.Since these remaining days do not qualify for another weekly or monthly charge, ON!Track applies the configured daily rate.March Charge = 2 days × $12 = $24Total Cost Calculation
Period Applied Rate Cost January Monthly Rate $100 February Monthly Rate $100 March (remaining 2 days) Daily Rate $24 Total Asset Cost = $224