Job Costing Tips
Money doesn’t grow on trees and neither does your profit on a construction project!
QuickBooks® can provide you with some good job costing reports, the Estimate vs. Actual is one of my personal favorites, BUT QuickBooks needs to be setup correctly and job costing information needs to be entered consistently.
Remember … Garbage in (to QuickBooks®) — equals garbage out (of QuickBooks® reports).
This section provides you with helpful tips to make the job costing capabilities in QuickBooks® work for you.
Creating a job cost report displaying the hours worked by employee, on a specific job or on all jobs, can provide a contractor with vital job costing information. Continue reading
Contractors switching to QuickBooks from another accounting program are often concerned about how to enter Job to Date Costs and Billing Data when converting, so they don't loose this vital information. Continue reading
Each Friday, here on the QuickBooks for Contractors blog, we will be offering a free QuickBooks related eBook, offering tips, tricks, and training. Continue reading
Equipment cost-per-hour rates are calculated by adding together three distinct pieces of information. Once you know your Equipment Costs per hour, use QuickBooks to track these costs for job costing purposes. Continue reading
If you think that job costing is all it takes to have a good construction accounting system – think again! You need a firm handle on your costs and QuickBooks when properly setup and used does a very good job, however, you also need to be able to control those costs. Continue reading
Before QuickBooks had a Unit of Measure option - I think it was introduced with QuickBooks 2007 - we had to rely on QuickBooks group items to perform Unit of Measure calculations. Continue reading
QuickBooks provides you with a powerful, and time saving tool within your items list, which is often under utilized and often misunderstood — the QuickBooks Group Item.
5 Reasons To Use QuickBooks Group Items:
- Creating and using Group Items is… Continue reading
It’s the start of construction season, is your job costing system in place?
While the start of a busy construction season may not be the time to do a full-scale revamp of your current job costing system, it is certainly… Continue reading
Job costing in QuickBooks starts with the Item List. When you tell this to most contractors they respond with “Items --- I don’t sell ITEMS --- what does Items have to do with construction????? Continue reading
I tell my clients that Cost of Goods Sold (COGS) is any cost incurred that directly relates to getting the sold goods out the door. I have them ask the question "Would you have this expense if you hadn't made the sale?" 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