The Unanet system can dilute both cost and bill rates. Rate dilution means that rates are adjusted based on how many hours a person worked versus how many hours were available or "normal" in a given period. The simplest example of this is when you have an exempt (salaried) employee and they work 80 hours in a week. Since their cost rate is probably based on 40 hour weeks, their effective cost rate, or diluted rate ends up being half of their normal rate -- if it wasn't, their salary for that week would double!
There are many different ways to accomplish dilution. There could also be and unlimited set of different rules based on the needs of a company. For that reason, Unanet allows for a flexible approach to dilution -- a styled approach. What this means is that we provide for different "Styles" of dilution. Style 0 (zero) dilution means that no dilution is used. This is the default setting in the Unanet system. To better explain dilution in the Unanet system, it is easier to divide it up into Bill Rate Dilution and Cost Rate dilution.
Bill Rate Dilution adjusts the bill rate of people based on the hours that they worked versus the hours available (input by the user). There is currently only one method used by the Unanet system to dilute bill rates. To learn more about Bill Rate Dilution, click here.
Cost Rate Dilution adjusts the cost rate of people based on the hours they worked versus the hours available in that period. Unanet currently has two Styles of Cost Rate Dilution. To learn more about each Style, click on the desired selection below:
| Style 0 (zero) Dilution | This is the default. No Dilution is calculated. |
| Style 1 Dilution |
This is currently the only other choice for Cost Dilution. As other methods of Cost Dilution are needed, the Unanet system will include additional Styles to address those needs. |
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Last revised: September 13, 2002.