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Setting up Value Rules in a Fathom Forecast
Setting up Value Rules in a Fathom Forecast
How Profit & Loss values are calculated in your forecast
Daniel Walls avatar
Written by Daniel Walls
Updated this week


What is a value rule?

A value rule determines how Profit & Loss values are calculated in the Fathom forecast main grid. They comprise the rules, formulas, or methods for ensuring that numbers are presented on the forecast accurately.

In Fathom, value rules can be set on the overall classification, heading, or individual account level. You’ll initially set up the default value rules when you first create your forecast, but these rules can also be edited or changed at any time in the main grid.

Types of value rules

Value rule type

Calculation method

Direct Entry

A custom value entered into the forecast grid. This value can come from Excel formulas, other calculation methods, or can simply be a ballpark figure. These are typed into individual value cells.

Link to previous period

Use actuals from last month, last quarter or actuals from the same month last year. Increase / Decrease by a percentage or dollar amount (% / $).

Smart Prediction uses statistical prediction of future values (3/6/12/24 month linear regression) or a rolling average to calculate forecast values. Smart Prediction includes an option for seasonal adjustments when the regression or average is based on 12 or 24 months of data. Using the rolling average to forecast also allows you to incorporate a monthly, quarterly, or yearly increase or decrease into the calculation.

For more detail on Smart Prediction, please see our 'Smart Prediction Methodology' article.

Constant/ Growing

A repeating value that may or may not be increased or decreased at a constant rate each period.

Launches a formula builder to allow you to customise your calculation, and include drivers/other account values.

Link to Budget

The value for this account is directly linked to the budget uploaded to the company settings.

Creating a Value Rule

To create a value rule in the main grid,

  1. Click on an account from the main grid to open the configuration panel on the right hand side of the grid

  2. From here you can view the current rule, and change it by using the ‘three dot’ icon to ‘Edit’ the default rule or add a ‘New rule’.

  3. You can then select from a drop down of choices, and configure those further to suit your needs.

💡Pro Tip: To type in a value for a cell, simply double-click on the cell. This will create a direct entry. Then, you can use the 'Tab' option to move to the next cell.

Note: Value rules can only be applied to Profit & Loss headings, subheadings, and accounts. Balance Sheet values are set according to timing profiles, journals, and schedules. Any P&L accounts derived from the Balance Sheet (e.g. Interest, depreciation, etc.) will also be calculated according to journals and schedules.

Next steps

Continue the 'Forecast Creation & Setup Workflow' by choosing from one of the next steps below:

What you want to do:

Where to go next:

Import or create drivers to use as variables in formula value rules

Forecast AR, AP, Unearned/Deferred Revenue, and Prepaid Expenses

Set up taxes and account linkages and your forecast

Set up loans, depreciation, and inventory in your forecast

Additional knowledge & common questions:

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