Capacity Rates in Magnifi – Configure Default Rates

Capacity Rates - Set Defaults

Purpose

This article explains how to configure default Productivity %, Recovery %, Sell Rates, Leave %, Full-Time Hours, and other capacity assumptions under Capacity → Capacity Defaults.
These defaults flow automatically to Annual Capacity and Monthly Capacity, where they may be overridden (except Recovery %).


When to Use

Use this guide when you need to:

• Set organisation-wide Productivity %, Recovery %, Sell Rates or Leave Entitlements
• Apply consistent baseline assumptions before calculating capacity
• Decide whether Sell Rates are managed at Organisation or Divisional level
• Control whether Sell Rates are Default (editable) or Fixed (locked)
• Set the standard full-time hours used across your organisation

Everything in this article is completed under Capacity → Capacity Defaults.
Annual Capacity and Monthly Capacity only display or override these values — they do not set them.


How To

Open Capacity Defaults

  1. Go to Capacity → Capacity Defaults.

  2. All settings on this page apply organisation-wide unless Divisional options are enabled.

  3. Values entered here become the starting defaults for all employees.


Set Default Productivity %

  1. Enter the default Productivity % for the organisation.

  2. This value becomes the baseline applied to all employees.

  3. You can override Productivity % per employee under:
    Annual Capacity (Constant Inputs mode), or
    Monthly Capacity (month-by-month values)


Set Default Recovery %

  1. Enter the organisation-wide Recovery %.

  2. Recovery % represents the proportion of productive time expected to be billed.

  3. Recovery % cannot be changed per employee.

  4. It flows automatically into:
    • Annual Capacity
    • Monthly Capacity
    • Capacity v Income (Effective Capacity)


Set Sell Rates (Default or Fixed)

Sell Rates determine the hourly charge rate used in capacity calculations.

  1. Choose where Sell Rates are controlled:
    Organisation level — one rate applies to all divisions
    Divisional level — separate Sell Rates per division

  2. Choose the Sell Rate type:
    Default Rate — editable per employee
    Fixed Rate — locked and cannot be edited per employee

  3. If no Sell Rate is entered here:
    • The Sell Rate cell appears blank under Annual/Monthly Capacity
    • You may enter the Sell Rate directly in those screens
    • Capacity calculations will still run normally

  4. New employees inherit either:
    • The Organisation-level Sell Rate, or
    • The Divisional Sell Rate (if Divisional mode is enabled)


Choose Organisation or Divisional Sell Rate Mode

  1. The Divisional Employee Rates checkbox controls whether employees can have different Sell Rates in each division.

  2. Unticked (default):
    • Each employee has one Sell Rate
    • The rate can be edited at Organisation or Divisional level (they behave as the same value)

  3. Ticked:
    • Employees can have different Sell Rates per division
    • Sell Rates must be entered at the Divisional level
    • Organisation-level Sell Rate shows the average of all division rates
    • Editing is only available at the Divisional level


Set Leave Entitlement %

Default Leave % values apply to all employees unless overridden.

Prefilled defaults (editable):
• Annual Leave — 7.69%
• Personal Leave — 3.85%
• Public Holidays — 3.46%
• Long Service Leave — 0%

Override per employee by expanding their row under Annual Capacity.


Full-Time Hours

  1. Default = 38 hours per week (editable).

  2. This value is used when:
    • Adding new full-time employees under Labour Drivers
    • Calculating Available Hours in Annual/Monthly Capacity


Overtime %

Overtime % is not entered under Capacity Defaults.

Instead:
• Enter the default Overtime % under Labour Drivers → Gross Wages
• Annual/Monthly Capacity pulls this value automatically into the monthly and annual calculations


Tips / FAQs

Can I use both Organisation and Divisional Sell Rates?
Yes — select the mode that suits your structure.

Why can’t I edit Sell Rates in Annual Capacity?
The employee is using a Fixed Rate or Divisional Employee Rates is enabled.

Why is Recovery % locked?
Recovery % is always organisation-wide and cannot be changed per employee.

Do leave settings affect Capacity v Income?
Yes — lower Available Hours reduce both Capacity Hours and Capacity $.