---
sourceDocument: Zurich Strategic Portfolio Management
sourceDocumentLink: https://www.servicenow.com/docs/r/zurich/it-business-management

 Release :

    - zurich

ft:locale :

    - en-US

ft:publication_title :

    - Zurich Strategic Portfolio Management

ft:clusterId :

    - itbm

bundleId :

    - itbm

workflow :

    - Technology


---

# Create or modify a rate model

# Create or modify a rate model {#ariaid-title1}

* Release version: Zurich
* 
* Updated July 31, 2025
* 
* ![](https://www.servicenow.com/docs/portal-asset/ico-clock) 1 minute to read

Create or modify a rate model that can be linked to a project or demand to determine
planned costs and actuals for their resource. The rate model provides date-effective,
criteria-driven hourly rates for these investments.

## Before you begin

* Choose the attributes to define the criteria in a rate model to derive hourly rates.
* Define the [budget reference rates](https://www.servicenow.com/docs/dgkM_7c~V3txqGfjjUjLkA "The support for use of multiple currencies provides conversions for budget items in different currencies.") for the non-functional currency for the required time periods.
* Role required: pps_admin or it_rate_model_admin
{#create-rate-model__ul_yps_hkd_1gb}

## Procedure

1. Create a rate model.

   | Option | Steps |
   | From Project Administration | 1. Navigate to AllProject AdministrationRate ModelAll. 2. Click New. {#create-rate-model__ol_nwb_psh_hfb} |
   | From Time Sheets | 1. Navigate to AllTime SheetsRate ModelAll. 2. Click New. {#create-rate-model__ol_yj2_rsh_hfb} |
   |-|-|

   {#create-rate-model__create-rate-model-option}
2. On the form, fill in the fields.  
   {#create-rate-model__table_cwy_r3n_cfb__entry__2}

   | Field | Description |
   |-|-|
   | Name | Unique name for the rate model. |
   | Active | Option for indicating the status of the rate model. Only active rate models can be assigned to a project or demand. |
   | Default | Option for setting the rate model as the default. You can set only one rate model as default. A default rate model is automatically associated to new projects and demands. |
   | Rate model context | Context set for the rate model. Read-only system field. |
   | Currency | Default currency for the rate lines in the rate model. |
   | Rate type | Option for enabling the rate type attribute on rate lines in the rate model. When selected, Rate type is added as one of the attributes along with other defined attributes. For more information, see [Rate type in labor rate card](https://www.servicenow.com/docs/qdGV1CjKYA4ZgsI5ONIwog "The rate type functionality is used to categorize different types of work. For example, Standard versus Overtime."). |
   | Description | Short description for the rate model. |
   [Table 1. Rate Model form]

   {#create-rate-model__table_cwy_r3n_cfb}
3. Click Submit.

## What to do next

[Add attributes from a set of predefined
entities](https://www.servicenow.com/docs/VD8n6jueYeSc1uIPsT4VsQ "Set the criteria of a rate model by adding attributes from a set of predefined entities to derive resource hourly rates based on the criteria.") to define the criteria for rate model to derive resource
cost.

*[\>]: and then