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Procore

Create a New Expense Allocation

Objective

To create a new expense allocation for a Procore project so you can bill your Procore technology costs to the the owner.

Background

Procore has designed a new Expense Allocations feature in the Company level Admin tool to provide General Contractors a statement of cost allocation for the project level. This provides GCs with the ability to bill Procore costs to the owner. As a GC, the costs for your Procore technology investment may be reimbursable. This feature creates the necessary statement of allocation to ensure that you have the proper PDF documentation to recover the cost of your Procore investment.

To use this feature you will need to select the active project to allocate and complete three (3) fields relevant to that project:

  1. Estimated Start Date
  2. Estimated End Date
  3. Estimated Original Contract Value

Based on this information, Procore will generate a statement of cost allocation by multiplying your Basis Points pricing rate on the Date of Allocation by the Contract Value. Procore then generates this statement as a PDF, which you can submit to the owner for reimbursement and keep for your records.

It is important to note that the total amount of cost allocated cannot exceed the cost of your annual Procore license.

Things to Consider

  • Required User Permission:
    • 'Admin' on the Company level Admin tool
  • Requirements:
    • End users must enter data in ALL fields. 
    • End users are limited to creating one (1) expense allocation per Procore project per one (1) year billing period.
  • Limitations:
    • An expense allocation cannot be deleted. 
  • Additional Information:
    • Procore billing periods are always defined in one (1) year increments. For example, if your company's Procore contract start date was January 1, 2018 the end of your one (1) year billing period would be December 31, 2018. If your contract start date was March 1, 2018, then the end of your one (1) year billing period would be February 28, 2019. 
    • You can create a new expense allocation on any date within a one (1) year billing period. However, you cannot create a billing period that spans multiple Procore billing periods. If you want to bill an owner for a project that spans more than one annual billing periods, you must create a separate expense allocation for each annual billing period. 
    • The Actual Contract Value (ACV) of your Procore Contract is used to calculate total for the owner on the expense allocation. If your company's ACV changes during a billing period and you create a new expense allocation, the new ACV will always be used to calculate the bill amount. 

Steps

  1. Navigate to the Company level Admin tool. 
    This reveals the Company Admin page.
  2. Under Administrative Settings, click Expense Allocations.
    This reveals the Expense Allocations page.
  3. Click New Expense Allocation.
    This opens the New Expense Allocations page. 
  4. Complete the following required fields:
    1. Project. Select the desired project from the list. Only active Procore projects appear in this list. 
      Notes:
      • If you select an active project with an existing expense allocation, the 'Project has already been taken' error message appears.
      • You can create only one (1) expense allocation for a project during the one (1) year billing period. For example, if your company has a single-year Procore contract that started on January 1, 2018, you could create up to one (1) expense allocation on or before December 31, 2018. If your company has a multi-year Procore contract that started on January 1, 2017, the first billing period would end on December 30, 2017. The second year's billing period would start on January 1, 2018 and end on December 31, 2018. 
    2. Estimated Start Date. Enter the estimated project start date.
      Note: This date should match the date entered in the Project level Admin tool's Estimated Start Date field on the General page. 
    3. Estimated End Date. Enter the estimated project end date.
      Note: This date should match the date entered in the Project level Admin tool's Estimated End Date field on the General page.
    4. Estimated Original Contract Value. Enter the estimated original contract value. 
      Note: This value should match the amount entered in the Project level Admin tool's Estimated Start Date field on the General page. 
  5. Click Create.
    The system generates a PDF and associates the new expense allocation with that project. You can only create one (1) expense allocation per project. Should you inadvertently create an expense allocation or need to remove or change it, please reach out contact your Procore point of contact.
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