When asked to complete tasks, either we will provide either a verbal or informal estimate in the form of quantity of hours, or we will provide a formal quote (which typically will not be quoted hourly).
With an estimate, there is not a 100% guarantee that the work will be completed within the projected time frame. Equally, it is always plausible that we will complete the work in a lesser time frame. Upon completion, this work would consume block hours (or be billed at our standard hourly rate if no block hours are available). Please note that in this scenario, all aspects of the work are factored in, including any travel time, consultation time, preparation time, training time and post implementation support time.
With a quote or proposal, we will provide a fixed cost to carry out the requirements and produce an agreed result/outcome within the agreed time frame. We deem this set of requirements as a ‘Project’. In situations like this, the final cost will almost never vary (unless the scope changes – in which case we’ll provide an updated quote at our mutual agreement). This cost will factor in any required travel time, related consultation time, preparation time, training time (if agreed), and within reason, post implementation support time.
Given that projects are generally quoted at a fixed cost, the only way that block hours can be used against these is by applying a credit against the project work by calculating the value that the block hours were purchased at. For example, if you’ve purchased 10 hours at $120/h, and you have five hours remaining – you may use the remaining $600 against a project.