It uses a cash basis accounting and construction contractors should consult with a tax advisor to get the best tax strategy for their business. The How to leverage construction bookkeeping to streamline financial control financial reporting segment takes the same data from revenue management and compiles reports instantly for quick review. Under the financial management segment, you can make intercompany entries and manage workflows and content management. It allows adjustments to be made easily and can provide month-end and year-end reporting quickly.

How Our Real Estate Accounting Process Works

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Best for Project Drawing Integration

While it’s possible to manage your construction accounting on your own, owning a construction company comes with many complexities that may lead to you making costly accounting errors. It essentially ensures that your service price covers all overhead expenses and helps ensure you make a profit on all of your construction projects. Accuracy and Reliability – Count on us for precision in bookkeeping for construction companies. We guarantee the accuracy and reliability of your financial data using comprehensive quality control procedures.

Financial Statement Reporting

• If a bookkeeper is expected to handle all the bookkeeping duties, plus additional accounting jobs as well, they will be able to charge around $22 per hour.
• Equipment cost allocation in construction accounting involves tracking the expenses related to the purchase, maintenance, and usage of heavy machinery across multiple projects.
• In construction accounting, every expense, whether large or small, must be recorded accurately to provide a clear picture of your financial health.
• These software options can help construction companies manage their finances, track job costs, and create invoices.
• The compensation that an employee is supposed to be paid can also be affected by union rates, travel pay, and taxes.
• Allocating a portion of your income specifically for taxes helps avoid unexpected liabilities during tax season.

Technology Driven Approach – We use cutting-edge bookkeeping applications and tools to increase productivity and provide instant insights into your financial data. In addition, we help you find and make the most of tax deductions and credits that apply to your construction sectors, such as those for investments in energy efficiency, R&D, and other areas. We help you meet all your tax responsibilities, such as submitting filings accurately and on time, disclosing your income, and making tax payments. Our tax specialists offer holistic tax planning services tailored-made to your unique needs, allowing you to reduce your tax burden while maintaining a positive standing with the tax authorities. We examine your income, expenditures, and investment information to reduce your tax burden. We guarantee to maximize your cash flow, minimize late payments, and that your relationship with suppliers and customers will stay healthy and heightened due to our streamlined processes and controls.

By integrating preconstruction parameters, such as bidding and cost building, contractors can quickly move a project from the prework phase into the project management and building phases. Construction software becomes a one-stop platform for everything from prices to contracts and compliance. This helps ensure that nothing slips through the cracks in the construction process. Cash flow is the lifeblood of any business, and general contractors must monitor it closely. By reviewing your cash flow regularly, you can ensure there are sufficient funds to meet current and future expenses. Construction bookkeeping services can help in setting up systems to track income and expenses efficiently, providing timely reports to help you stay on top of your finances.

• Having robust retainage management becomes vital when managing multiple initiatives at one time.
• We provide the service, tools, and training you need to close the gap – while freeing you up to do what you do best.
• This helps evaluate the profitability of each project and maintain accurate financial records to deliver construction expense reports for clients.
• Construction companies should use a percentage-of-completion method that recognizes both revenue and expenses as they are accumulated over time.
• Plus, you’ll have all the tools you need to stay on top of your construction accounting and make smarter financial decisions.
• Construction companies have unique accounting needs that require specialized bookkeeping practices.