Define Resource Rates

Defining resource rates in ProjectStream 365 establishes the labor, equipment, subcontractor, and material pricing used throughout estimating, budgeting, proposal generation, and project management. Resource rates provide a consistent pricing framework that helps improve estimate accuracy, maintain profitability, and standardize project costing.

✅ Goal

Create project resource rates that define costs, pricing, overhead, and profit calculations for resources used on a project or proposal.

📍 When to Use

Define resource rates when setting up a project proposal, preparing estimates, updating pricing structures, or establishing project-specific cost and billing rates.

Use resource rates to:

Establish direct project costs
Define customer pricing
Calculate profit margins
Apply overhead recovery
Standardize estimating calculations
Support budgeting and forecasting
Improve estimate accuracy and consistency

🚶‍➡️ Step-By-Step Guide

📋 Procedure

1. Navigate to Projects

2. Select Open Proposals view

3. Open a Proposal

4. Click the Rates Tab

5. Click New Project Resource Rate

6. Choose the resource from the list

7. Enter the Resource Rate details:

Resource Group	The resource classification associated with the rate, grouping resources that share common costing or pricing characteristics.
Default Cost Category	The default cost category associated with the resource group and used to classify the related resource cost.
Project	The project or proposal to which the resource rate applies.
Profit Type	The pricing method used to determine how profit is applied to the resource rate.
Unit Cost	The cost amount associated with one unit of the resource.
Profit Percent	The profit percentage associated with the resource rate.
Unit Price	The price associated with one unit of the resource.
List Price	The reference or standard list price associated with the resource rate.
OH Percent	The overhead percentage associated with the resource rate.
Unit	The unit of measure associated with the resource rate.
Unit Group	The group of related units of measure associated with the resource rate.

8. Click Save and Close

9. Click Save & Close

✅ Result

After saving the resource rate:

Resource costs are available for estimating.
Project pricing calculations can be generated consistently.
Profit and overhead values are incorporated into estimate calculations.
Budgets and forecasts use standardized project rates.
Proposal and project financial reporting become more accurate.

💡 Tips

Review resource rates before beginning detailed estimating activities.
Maintain consistent profit calculation methods across projects.
Verify labor, equipment, material, and subcontractor costs regularly.
Use appropriate units of measure to ensure accurate quantity calculations.
Update rates when supplier costs, labor costs, or market pricing changes.
Establish standard resource groups to simplify estimating and reporting.

🧭 What Happens Next?

After resource rates have been defined, estimators can begin developing detailed estimates using project-specific pricing. The configured rates are then available for budgets, proposal calculations, forecasting, profitability analysis, and project reporting throughout the project lifecycle.