You've outgrown QuickBooks
The workaround has a workaround. Someone maintains a spreadsheet that the whole company depends on.
General accounting software does general accounting well. Progress billing, retainage tracking, committed cost, cost to complete, and WIP are construction functions, and bolting them onto a general ledger with spreadsheets holds up until the person who maintains the file takes a holiday. The cost of that setup hides inside payroll, because somebody in your office spends part of every month keeping those files alive. You don't read it as a software expense, so it never gets weighed against software that would do the work for you.
Three moves, in order
Step 05: Software and bookkeeping alignment
Live job costs inside thirty seconds, with the bookkeeping cadence that keeps them true.
Other problems step 05 solves
Other things that go wrong
What owners ask
Quickbooks construction job costing limits?
The workaround has a workaround. Someone maintains a spreadsheet that the whole company depends on. General accounting software does general accounting well. Progress billing, retainage tracking, committed cost, cost to complete, and WIP are construction functions, and bolting them onto a general ledger with spreadsheets holds up until the person who maintains the file takes a holiday. The cost of that setup hides inside payroll, because somebody in your office spends part of every month keeping those files alive. You don't read it as a software expense, so it never gets weighed against software that would do the work for you.
Which part of the system fixes this?
The step is number 05, software and bookkeeping alignment. Live job costs inside thirty seconds, with the bookkeeping cadence that keeps them true. It's drawn from chapter 5 of CONTROL: The Construction Financial Operating System.
Is this normal for my trade?
Across the 48 trades in the benchmark reference, net profit at $1M–$5M averages 7% before taxes. If you're well under that and this page describes your month, the two are usually the same story. The published average tells you where the pack sits, and your own job costing tells you where you sit, which is the number that pays payroll.
Where do I start?
List every spreadsheet that exists because the software can't do the job.
Can I fix this without touching anything else?
You can try, and it doesn't hold. Step 05 depends on step 01, job cost structure. Install it ahead of that and it produces numbers nobody trusts, which is worse than the problem you started with.
