PEREX
Personel Expenses (PEREX)
Investment into personnel is not an easy task in every company. This financial model has a separate model for estimating the expense that you may tailor to your hiring plans.
Main features
- Ability to enter the beginning and end of hiring for each senior position.
- PEREX structure is built in divisions
- Different estimation for Fixed and Variable PEREX
- Forsee monthly and yearly forecast on the same sheet.
Personnel expenses PEREX
Personel expenses (PEREX) usually have different dynamics compering to fixed OPEX and variable cost. While building the estimation model for personnel expense (PEREX), we implement many decision drivers that usually help to identify the cost dynamics.
Organizational structure: in order to follow the typical organizational structure, we divide PEREX into general (CEO, STO, CFO, MCO) personnel expenses and direct (variable) personnel expenses.
Variable Vs fixed cost: In terms of cost movement, General PEREX expenses are fixed costs that tend to move in the long run. The model has a build start and end dates for each individual position so you can tailor the Expense according to your hiring plans. Direct variable personnel expenses are a variable expense that tends to move along with the operational activity.
Organizational structure: in order to follow the typical organizational structure, we divide PEREX into general (CEO, STO, CFO, MCO) personnel expenses and direct (variable) personnel expenses.
Variable Vs fixed cost: In terms of cost movement, General PEREX expenses are fixed costs that tend to move in the long run. The model has a build start and end dates for each individual position so you can tailor the Expense according to your hiring plans. Direct variable personnel expenses are a variable expense that tends to move along with the operational activity.
General PEREX
General PEREX represents the top management and administration of a company, where we build 3 General PEREX divisions responsible for key company processes. The model comes with 3 divisions and up to 16 unique individual managerial positions. If you want to name the division differently, you can change the names in the Configuration section.
- Sales & marketing
- Research and development
- General administration
Every General PEREX divisions have an additional line item for employees with similar salaries. For example, you may have 7 employees contract for specialist positions within the division that have similar salary ranges.
Entry information:
- name of the position
- hiring start and end date
- number of employees
- base salary for the first year of the planning period
- an increase in salary for each year compared to base salary
- total benefit-cost (and salaries tax payable by the company) as a percentage of base salary
Sales & Marketing (General PEREX)
Research and Development (General PEREX)
General & Administration (General PEREX)
Variable personnel expenses
If you are using a general financial model then you will use this section to estimate your variable personal expense. Like a specific financial model, variable PEREX is not linked to operational activities of your business and you have to estimate how much variable personnel you need for a certain level of operational activity separately.
Organizational structure: We group all Variable PEREX into one division with 2 sections. One section is the middle managerial position for operations directly linked with offering products or services and general employee positions. All names of the personnel groups are editable through the configuration section.
Entry information is equal to General PEREX positions.
Organizational structure: We group all Variable PEREX into one division with 2 sections. One section is the middle managerial position for operations directly linked with offering products or services and general employee positions. All names of the personnel groups are editable through the configuration section.
Entry information is equal to General PEREX positions.
Variable personnel expense
Report overview
Once you enter all drivers for estimating PEREX, you can see if your hiring plan meets your planned monthly or yearly targets in terms of expense.
