QuickBooks Tip:  How to Calculate Over/Under Billings

QuickBooks Tip: How to Calculate Over/Under Billings

Job Costing Tips, Reports
The construction industry often requires that your financial statements be based on Percentage of Completion accounting practices - where you recognize revenue progressively throughout the life of the job. The Percentage of Completion is determined by dividing the costs to date over the current budget (Estimate). The current budget is defined as the original budget (Estimate) plus any approved change orders.  An adjustment to the financials for overstated/understated revenue must then happen, because customer monies are often collected in advance of the work in job costing, you’ll want to state the true revenue on the financials carefully. Accounting guidelines recommend that you make your percentage of completion calculations based on  Revenue Earned = (Total Costs to Date / Current Project Budget) x Current Customer Contract Sales Price. In reality, you…
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Penny Wise & Dollar Foolish Over QuickBooks 3rd Party Apps

"Maad" Rants & Other Stuff, QuickBooks Add-Ons
  Are you being penny wise and dollar foolish over QuickBooks 3rd party apps and their price? Don't be ashamed, it happens to a lot of people. Many times a QuickBooks user will look at the cost of a 3rd party application and think - why should I spend the money on a third party application when I can just as easily do this task using Excel or some other way!  This is insane, I've already spent a lot of money just to purchase QuickBooks. Ya, I get it - money is tight and we are all looking for ways to trim unnecessary dollars from our budgets - but are we sometimes being penny wise and dollar foolish?  Many times I think that answer is "Yes".  Here is a real…
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