"Direct Salary" Definitional Discrepancy?

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    Katerina Buscemi

    I believe direct salary and direct salary expense (DSE) are two different things

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    Jason Ma

    While both definitions relate to the cost of labor within a firm, they approach the concept from slightly different perspectives. The AHPP emphasizes the time spent by employees on projects, while the Ballast/PPI ARE 5.0 definition highlights the actual monetary expense incurred by the firm for salaries, irrespective of project involvement.

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    John Waller

    Thanks for the replies! I've since passed PcM ---> on to PjM

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    Valerie Galchenko

    Direct labor as "Same as direct salary, Represents time charged to projects..." 

    where Ballast defines it as "Direct salary expense is the amount paid to the firm's workforce, excluding the value of benefits such as insurance."

     

    You are comparing Direct labor and Direct Salary, 2 different concepts :) 



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    Michael Ermann

    Direct salary, direct labor, direct salary expenses (DSE), and direct costs….all of these terms are limited to billable hours invoiced to the client. None of them include the cost of time spent in unjamming the copier, planning the firm holiday party, or or onboarding new employees.

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