Why isn’t the total time revenue recognition the same as my project’s fixed price?

Question

I have a fixed-price project. In Financials > Revenue Recognition, the total revenue recognized for time does not match the project’s fixed price amount. Why is that?

Answer

1. This difference can be caused by the expenses recorded in your project.

The portion of revenue recognition allocated to time decreases if the project includes expenses that are marked as part of the fixed price.

In contrast, expenses marked as billable on top of the fixed price do not affect the time-based revenue recognition. Instead, they increase the total revenue recognition.

2. This difference can be caused by manual revenue recognition.

The total manual revenue recognition you entered can be greater than the project's fixed price.