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Where are recorded billable hours turning into less cash?

Separate billing write-downs from collection leakage to calculate effective realization.

Example scenario

Editable demonstration inputs, not verified industry benchmarks. Enable JavaScript to calculate your own scenario.

Recorded billable hours / year
20,000
Standard billing rate / hour
$200
Recorded value actually invoiced
90 %
Invoice value actually collected
96 %
Annual delivery labor cost
$2,400,000
Annual contribution after realization leakage$1,056,000

Example result only, not a forecast or promise.

Unbilled recorded value
$400,000
Billed value not collected
$144,000
Effective collected hourly rate
$173

What to do with this result

Investigate write-down reasons by project manager and account; billing realization and collection success require different fixes.

Know what is inside the model.

Planning model, not personalized financial advice. Your inputs remain in your browser.

Calculation method

Collected revenue = recorded hours × standard rate × billing realization × collection realization.

Assumptions and limitations

  • Example inputs are editable scenarios, not Aryo results or independently verified industry benchmarks.
  • Use collected revenue and fully loaded delivery costs consistently. Released time is capacity, not automatically a cash saving.

Turn the number into a decision.

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