Frequency Rules

This article explains frequency rules for variables in Model Reef.

You will learn:

  • How variable frequency is defined.

  • How frequency interacts with model periodicity.

  • How to choose sensible frequencies for different types of variables.

Frequency describes how often a variable accrues within the model timeline.

1

Variable frequency vs model periodicity

The model periodicity sets the base grid, for example:

  • Weekly

  • Monthly

  • Quarterly

  • Yearly

Each variable has a frequency or schedule that tells the timing engine how often accruals occur.

In most cases:

  • Variable frequency is aligned with model periodicity (for example a monthly variable in a monthly model).

  • You can also represent one-off events, quarterly items in a monthly model, or annual items in a quarterly model using schedules.

2

Common frequency settings

Typical patterns:

  • Every period

    • Revenue or Opex variables that recur each week or month.

  • Quarterly

    • Tax instalments, some professional fees, certain leases.

  • Annual

    • Registration fees, annual insurance, one-off retainers.

  • One off

    • Single payments, unusual items, one-time events.

You express these through the variable's timing settings using either simple frequency choices or explicit schedules.

3

Frequency and amount patterns

Frequency interacts with amount patterns as follows:

  • A variable can have the same amount each time it accrues (for example a fixed retainer).

  • Or it can use drivers or formulas to vary amounts period by period even if the frequency is regular.

  • Range-based presets can spread a total amount evenly across a range of periods.

The timing engine uses frequency to decide when to apply the calculated amounts.

4

Frequency and model changes

If you change the model's periodicity:

  • The model timeline is regenerated.

  • Variable frequencies are interpreted against the new base grid.

  • Accrual patterns are updated accordingly.

For example, if you move from a monthly to a quarterly model:

  • Monthly repeating variables aggregate naturally into quarters.

  • Quarterly variables may become single events inside each quarter.

  • One-off events are mapped to the quarter that contains their date.

You should always review key variables after changing periodicity to ensure behaviour still aligns with your intent.

5

Choosing frequencies in practice

Guidelines:

  • Use every period for most recurring revenue, COGS and Opex items.

  • Use quarterly or annual for items that genuinely occur that way, such as some tax or regulatory fees.

  • Use one off for major non-recurring events such as large one-time projects.

  • Avoid using unnecessarily complex frequencies when a simpler pattern plus drivers will do.

Clean frequency choices keep the timing model understandable and traceable for reviewers.

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