7 Time-Saving QuickBooks Features for Busy Contractors
As a contractor, your time is valuable. You need to focus on completing projects, managing your crew, and growing your business. That’s why it’s crucial to have a reliable accounting system that saves you time and keeps your finances in order. QuickBooks offers several features specifically designed to help contractors streamline their accounting processes. In this article, we’ll explore seven time-saving QuickBooks features that every busy contractor should know about.
1. Job Costing
One of the most essential features for contractors is job costing. QuickBooks allows you to track expenses and income for each project separately. This feature helps you:
- Monitor profitability for individual jobs
- Identify which types of projects are most profitable
- Make informed decisions about future bids
- Easily create reports for clients or project managers
By using job costing, you can quickly see how each project is performing financially, allowing you to make adjustments as needed to ensure profitability.
2. Progress Invoicing
For contractors working on long-term projects, progress invoicing is a game-changer. This feature allows you to:
- Create invoices for partial amounts of a total estimate
- Bill clients at different stages of a project
- Track payments received against the total project cost
Progress invoicing helps maintain a steady cash flow throughout the project, ensuring you have the funds needed to cover expenses as they arise.
3. Mobile App
The QuickBooks mobile app is perfect for contractors who are always on the go. With this app, you can:
- Create and send invoices from the job site
- Track expenses by taking photos of receipts
- Check customer balances and payment status
- Record employee time and billable hours
Having access to your financial information on your smartphone or tablet means you can stay on top of your accounting tasks even when you’re not in the office.
4. Customizable Reports
QuickBooks offers a wide range of customizable reports that can help you gain valuable insights into your business. Some useful reports for contractors include:
- Job Profitability Summary
- Job Estimates vs. Actuals
- Unbilled Time and Expenses
- Accounts Receivable Aging
These reports can be customized to show exactly the information you need, saving you time when analyzing your business’s financial health.
5. Inventory Tracking
For contractors who maintain an inventory of materials or equipment, QuickBooks’ inventory tracking feature is invaluable. This feature allows you to:
- Track quantities of items on hand
- Set reorder points to avoid running out of essential materials
- Calculate the cost of goods sold for accurate job costing
- Generate reports on inventory value and turnover
By keeping a close eye on your inventory, you can avoid costly delays due to material shortages and make more informed purchasing decisions.
6. Bank Feeds and Reconciliation
QuickBooks can connect directly to your bank accounts, credit cards, and other financial institutions to automatically import transactions. This feature:
- Saves time on manual data entry
- Reduces the risk of errors
- Makes bank reconciliation faster and easier
- Helps you stay on top of your cash flow
With bank feeds, you can quickly categorize transactions and ensure your books are always up-to-date.
7. Contractor-Specific Chart of Accounts
QuickBooks offers industry-specific chart of accounts templates, including one designed for contractors. This feature:
- Provides a pre-built list of accounts tailored to your business
- Ensures you’re tracking the right financial categories
- Makes it easier to generate accurate financial statements
- Saves time on setting up your accounting system
Using a contractor-specific chart of accounts helps you organize your finances in a way that makes sense for your business and industry.
Conclusion
As a busy contractor, you need accounting software that works as hard as you do. QuickBooks offers a range of features designed to save you time and keep your finances organized. By taking advantage of job costing, progress invoicing, the mobile app, customizable reports, inventory tracking, bank feeds, and industry-specific charts of accounts, you can streamline your accounting processes and focus on what you do best – building and growing your contracting business.
Remember, the key to getting the most out of QuickBooks is to use these features consistently and to your advantage. Take some time to explore each feature and set them up to work for your specific needs. With a little effort upfront, you’ll save countless hours in the long run and gain valuable insights into your business’s financial performance.
Don’t let accounting tasks slow you down. Embrace these time-saving QuickBooks features and watch your productivity soar. Your business – and your bottom line – will thank you for it.
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