Time Charge

Term Definition

Time charges refer to special expenses that allow an administrator to track changes in a user’s compensation or a project’s billing. Furthermore, charges help to avoid the mistake of under- or over-paying employees. Administrators can also enforce maximums and minimums before allowing a user to submit a timesheet. An administrator can enter charges in a user’s timesheet for any entry. When you attach additional information to a time entry, a symbol is placed next to the said time entry.

First, let’s assume that Joe works as a technical engineer and is part of the Network Administration team. Joe has to carry a pager so that he can be reached in case of emergencies. However, how would Joe be compensated for carrying the pager since he will not really be working? Joe or his manager could enter a time charge entry for every day that he carries the pager. Joe can enter the number of hours (for example, it will assumed Joe has worked 3 hours more for every week that he carries the pager).

Area of Application 
Cost Accounting
GAAP