Overhead Allocation Configuration
Before your enterprise uses the Overhead Allocation feature, you must enter and define certain company-wide information that all projects use.
Overhead Allocation Configuration enables you to control how overhead expenses are allocated. Overhead expenses are all items charged to an indirect expense account (700.00 - 799.99).
If you allocate overhead on a company-wide basis when organizations are established in your database, you treat the entire company as one organization. For example, you choose assignment or proration as the allocation method; you choose labor or revenue as the allocation base, and you set up an overhead variance project number (if using the assignment method) to store any difference between actual and applied overhead.
If your firm uses multiple companies, you must set up overhead allocation for each company. To do this, click , and select the next company for which you want to set up overhead allocation. The name of the active company displays at the top of each tab.