1 - The Client P&L Analysis is the only profitability report that allocates overhead (non-client related expenses) after determining net revenue (gross margin) providing a total profitability picture.

2 - The Client P&L Analysis can be printed for one accounting period at a time, so printing at the end of each month is recommended.

3 - Each client's activity during an accounting period is summarized. The report sorts the most to least profitable clients so you quickly see who is making you the most money.

4 -  Income and costs appear here automatically based upon job costs and job billings posted throughout the month.

5 - Direct labor amounts appearing here are derived from information you enter into the Overhead Allocation worksheet.

6 - Each client's total percentage of net income shows what portion of the profit each client is responsible for.

7 - Each client's total net income dollar amount shows pure profit amounts. Those clients showing negative amounts are losing you money after overhead is factored in.

8 - All costs that are not associated with a specific client appear in the overhead allocation column. The amounts are determined using the overhead allocation worksheet.

9 - All costs that are associated with a specific client and with an expense G/L account (as opposed to a job cost G/L account) appear in the direct exp column.

10 - MTD (or Month To Date) amounts should include salary, payroll taxes and benefits. Any related amount that is not factored in here appears as overhead.

11 - One of four allocation formulas is chosen by you. It will determine how overhead is allocated. Each of these four methods is recommended by the AAAA.