💼 How Group ProPay Is Calculated in Protiv

The Group ProPay feature consolidates ProPays for smaller jobs, ensuring fair and efficient bonus distribution. Below is an explanation of how Group ProPay differs from ProPays that are not grouped.

📊 Non-Grouped ProPay

In a non-grouped setup, each ProPay is calculated individually based on the hours worked for each task or project. Bonuses are distributed separately for each ProPay.

Example:

👷 Worker Data and Hours Worked

Workers Hourly Rate ProPay 1 (Hrs) ProPay 2 (Hrs) ProPay 3 (Hrs) Total Hours
John $20 3 1 4 8
Sam $20 2 1 3 6
Eric $20 1 1 7 9
Total   6 3 14 21

💰 ProPay Budget, Actuals, and Variance

ProPays Budget Actuals Variance Bonus Rate
ProPay 1 $200.00 $180.00 $20.00 $2.22
ProPay 2 $100.00 $120.00 -$20.00 -$3.33
ProPay 3 $400.00 $120.00 $280.00 $46.67
Total $700.00 $420.00 $280.00  

🏆 Bonuses Earned by Workers

Workers ProPay 1 ProPay 2 ProPay 3 Total Bonus
John $6.67 -$3.33 $186.67 $190.00
Sam $8.89 -$3.33 $46.67 $52.22
Eric $4.44 -$13.33 $46.67 $37.78
Total $20.00 -20.00 $280.00 $280.00

⚠️ Challenges of Non-Grouped ProPay:

  • Variances in individual ProPays lead to fluctuating bonuses.
  • Increased complexity in tracking and managing bonuses across multiple projects.

✅ Grouped ProPay

With the Group ProPay feature, hours from all ProPays are pooled together, creating a unified calculation for the bonus distribution. This simplifies the process and ensures consistency.

Example:

📊 Overall Data

Budget Actuals Variance Total Hours Bonus Rate
$700.00 $420.00 $280.00 21 $13.33

🏆 Bonus Distribution

Workers Hours Worked Bonus Earned
John 8 $106.67
Sam 6 $80.00
Eric 7 $93.33
Total 21 $280.00

💡 ProPay Breakdown

ProPays Bonus Distributed
ProPay 1 $120.00
ProPay 2 $80.00
ProPay 3 $80.00
Total $280.00

🎯 Advantages of Group ProPay:

  • Fairness: Workers are rewarded based on their total contribution to all grouped ProPays.
  • Simplicity: Reduces complexity by consolidating ProPays into a single calculation.
  • Consistency: Smoothens discrepancies that might arise with individual ProPay variances.

📈 Comparison: Non-Grouped vs. Grouped ProPay

Feature Non-Grouped ProPay Grouped ProPay
Budget $700.00 $700.00
Actuals $420.00 $420.00
Variance $280.00 $280.00
Calculation Method Based on individual ProPays Based on combined hours and variance
Bonus Rate Varies across ProPays Unified at $13.33 per hour
Bonus Distribution Separate for each ProPay Unified across all grouped ProPays
Total Bonus $280.00 $280.00

✨ Conclusion

The Group ProPay feature simplifies and unifies bonus distribution while maintaining the same total payout of $280. It is ideal for teams working on multiple projects simultaneously, reducing administrative complexity and ensuring fair compensation.