What Vanward calculates
Loaded cost allocation, capitalized development cost, amortization and write-offs.
The method
- Calculate employee loaded cost from pay times the burden factor or pay plus entered loaded costs; use contractor invoices for contractor cost. Allocate cents by time percentages with largest remainders so capitalized and expensed amounts equal total loaded cost.
- Capitalize only time allocated to eligible approved projects. Transfer eligible released cost into service and amortize over the selected life from the elected release month or following month. Round monthly amortization to cents and let the last month take the residual. Apply entered opening balances, threshold and abandonment.
What the company decides
Eligibility answers, time allocations, pay, burden, project approval, release and abandonment dates, capitalization threshold and useful lives. These inputs and judgments are outside the guarantee.
Where it shows in Vanward
Capitalized software step, monthly cost report and proposed entries.
Method change log
- 2026-11-09 · 1.0 published