Each bill item charged to a client is assigned a Bill Code, which is used during the invoicing process. In Rates & Rules, bill codes play a key role in bill agreements by mapping pay codes—produced by the pay agreement interpretation process—to the correct bill items for invoicing.
Bill codes can also be used as manual items, such as allowances or reimbursements that payees can claim under a pay agreement. When a manual bill code is used by a manual condition in a bill agreement, it becomes available as a selectable manual item on timesheets for job orders covered by that agreement.
Bill Code Types
The following bill code types can be created in Rates & Rules:
Timesheet bill codes
Represent bill items generated automatically as a result of the Rates & Rules interpretation process.Manual bill codes
Represent bill items used in the manual invoicing process within the Billing application.
Bill Code Attributes
When creating or maintaining a bill code, specific attributes must be defined depending on the bill code type.
Bill Code Type
The bill code type determines the category of bill item and is used to group similar bill codes. Available types include:
Ordinary – regular work hours
Overtime – overtime work hours
Allowance – allowance payments or manual items
Leave – leave or absence-related bill items
Unit Type
The unit type defines how bill items are counted:
Hours – used for bill items related to hours worked
Units – used for allowances or manual items (for example, taxi fare × 4 units)
Rate
The rate defines the monetary value applied per hour or per unit for bill items invoiced against the bill code.
Tax Exemptions
Each bill code is assigned to a specific country. The country determines which taxes may apply to bill items invoiced against that bill code.
If required, you can mark a bill code as exempt from one or more applicable taxes. Any exempted tax will not be applied during invoicing.
Applicable taxes for each country are configured using Taxation Maintenance in the Billing application.
Linked Pay Codes
When timesheets are paid using standard rates rather than agreement rates, each pay item defined in the standard rates matrix must be linked to a bill code.
A bill code can be linked to one or more pay codes.
Each pay code must be linked to a bill code to ensure the system can calculate the corresponding bill amount.
📌 Note: If a pay code is not linked to a bill code, the bill amount for that pay item cannot be calculated.