One ultimate advantage which makes it unique and different from other construction project management software is its ability to deliver financial report by projects, generally called Job Profitability Report
When you run a Job Profitability Report, you will see details of accounting transactions for a specific constructions projects which will help management view a summary of income and expenses incurred on site.
As a contractor, you can also view estimated financial implication of a project against the actual transactions.
Here, you compare estimated cost with the actual cost incurred and estimated revenue against actual revenue.
Create an Invoice
I have discussed the process of generating invoice on how to create an invoice on this blog but the difference is the Job tab which you must select to categorize your transaction under a particular project is relevant in accounting for construction business.
As a contractor, you need to select from Customer: JOB to categorize this invoice to a particular project.
Click Save and Close
Whenever you record a transaction in QuickBooks for construction business, selecting customer: Job should be the ultimate factor to bear in mind except in situation where the transaction is not attributed to a project.
Generating report for construction jobs
The most important report contractors want to see are Profit and Loss by Job and Job Profitability Reports
Profit and Loss by Job shows your total income compared to expenses incurred on a project
Click Report menu, select Company and Financial and click Profit and Loss by Job
Job Profitability Summary
This is not the only report for projects, you can view Job Estimates Vs Actual Summary, Job Estimates vs Actual Details, Item Estimates Vs Actual etc.
This window shows a summary of all the projects undertaken for each clients with actual cost incurred, revenue realized and difference.
You can also refer to my post on QuickBooks for Real Estate Managers to get additional tips on QuickBooks for contractors