Retainage is a portion of the agreed upon contract price deliberately withheld until the work is substantially complete to assure that contractor or subcontractor will satisfy its obligations and complete a construction project. Retainage or retention can be: a fixed percentage of the contract - such as 10% of the value of the contract, a variable rate - such as 10% of the contract until the contract is 50% complete; at which time it is then reduced to 5%, OR a variable rate - such as retainage is held at 10% on labor and 0% on materials.
The amount of retention that is held quite often signifies a portion of the contractors overall profit on the construction project. Continue reading
The certified payroll report that your company submits to a general contractor, project owner, or contract administrator should contain information about your W-2 employees, the ones that work directly for you, are paid via payroll checks issued by your company and who you provide a W-2 for wages earned at the end of the year. When you enter into a formal contract for a portion of the prevailing wage/government funded construction project with a subcontractor, the subcontractor will submit a certified payroll report from his company to yours, listing their employees, the work classifications they fell under, hours worked on the project, wages, taxes, deductions, etc. Continue reading
76+ page self-paced Certified Payroll Training Guide is a great "good old simple English" reference tool and provides information about complying with prevailing wage laws. Continue reading
Join industry experts; Steve Kuzmack, President of Fringe Benefit Experts and Nancy Smyth, President of Sunburst Software Solutions, Inc. for an intensive 2 hours session on strategies for lowering labor costs and complying with certified payroll reporting requirements on Federal and/or State funded construction projects. Continue reading
The best way to run a construction project is to take time to outline the details and then execute the plan, which is not unlike the business process itself Continue reading
A QuickBooks tip about issuing joint checks to a subcontractor and a lower tier subcontractor or material supplier for payment for work completed on a construction project.
Unraveling Certified Payroll Requirements On Federal Construction Projects webinar presented for L2 Federal Resources, LLC. Join us 5/18/2011 • 1:00 - 2:30 PM EDT Continue reading
Contractors in Connecticut, New York and San Diego should keep an eye on these construction projects. Continue reading
This week's eBook provides information on paying and tracking prevailing wage fringe benefits, when you work on a government funded construction project that requires the submission of certified payroll reports. Continue reading
Progress Invoicing is a feature of QuickBooks® Pro, Premier and Enterprise editions, however, it is geared toward line item billing; more commonly used by contractors who work on large commercial and/or government construction projects involving a large scope of work or schedule of values and detailed line-item billing. Continue reading
In recent months, I have repeatedly seen posts from QuickBooks users on the Intuit Community Forums asking how the fringe benefit rate is calculated and then displayed on the Certified Payroll Report in Excel, which is now a standard function of QuickBooks Premier and Enterprise when used in conjunction with Enhanced Payroll, and I really haven’t seen any good responses. Continue reading
Tracking costs throughout a construction project is possibly the most important aspect of completing a project. This may seem like a simple function, but in a construction project, different entities need different financial information, and being able to track finances in real time saves a lot of work (and costs) later on. Continue reading
Understanding the different types of contractors and the roles that they play in the construction industry will enable you to realize just how different their QuickBooks accounting and compliance needs will be. Continue reading