Skip to main content
C
ca88fan
August 30, 2021
Question

Job Costing & Labor

  • August 30, 2021
  • 3 replies
  • 0 views

I am the Office Manager for a general contractor and I have recently upgraded to Enterprise for the Advance Job Costing options.  I understand that labor only posts to the Job Costing Report once a Paycheck has been run/issued.  This is fine for all my employees but I also have subs that I just need to track.  I created a method in the past where I can track Day Rate Labor and Advance Labor on my time tracking because at the end of the day I do not have to run payroll for them.  Example is I have Labor $28 which is all subs that we are charged $28/hr to work with our crew.  Based on sign in sheets I count up all the hours and enter them into the time tracking system.  With this information I am able to pull reports to review how many hours we are putting into projects to ensure we are creating bids and estimates accurately based on the type of work.   Now over time our use of subs has decreased but I still need to be able to track the hours when we do.  Using a job as an example entering hours for Labor $28 (and running no payroll for it) the 40hrs for one week do not show on the Job Costing Report.  I made changes to the Class and Account number and it does not show up under the Job Costing because I do not run the Payroll for this class.  I have also tried Billing the labor and creating an invoice but the invoice also adds to the Revenue and I don't want it to do that.  What options do I have to get the Generic Labor $28 over to Job Costing without generating a Paycheck and Creating additional Revenue?

3 replies

katherinejoyceO
katherinejoyceO
August 31, 2021

Thanks for sharing detailed information about your concern, @ca88fan. I appreciate you for trying all the options to achieve your goals. 

 

What you did is already good. All you need is to change the account of the item from the Account drop-down when creating an invoice. This way, it won't post to the revenue account.

 

For future reference, I've added here some resources that can help you learn more about job costing in QBDT: 

 

 

Get back to me if you have additional concerns. I'll be here to help you out. Take care!

 

 

Fiat Lux - ASIA
Fiat Lux - ASIA
August 31, 2021

@ca88fan 

I would recommend to keep using QBD Pro/Premier with a one time license + a 3rd party construction management app.

katherinejoyceO
katherinejoyceO
September 1, 2021

Hi there, @ca88fan.

 

Hope you’re doing great. I wanted to see how everything is going about your job costing and labor concerns you had yesterday. Was it resolved?

 

Do you need any additional help or clarification? If you do, just let me know. I’d be happy to help you at any time.

 

Looking forward to your reply. Have a pleasant day ahead!

 

C
C2Construction
May 3, 2022

We are having a similar adjacent issue to job cost relating to contractors. We use Quickbooks Time and include our cost rate for all contractors. In QBO there is not an editable field under contractors for cost rate. When we purchased Quickbooks Time, it erased our cost rate and now hours are not showing up in projects. 

In summary: we have independent contractors at an hourly rate that do not appear in the job transactions even though their time is applied to the job and billable. 

RenjolynC
RenjolynC
May 3, 2022

Hello, C2Construction.

 

I'll share some details on how we can get the hourly rate to appear in your job transactions.

 

After you enable the billable time for that specific job, let's make sure to record the billable time in the Time tab. 

 

Here's how: 

 

  1. Go to Payroll, select Time, then select Time entries.
  2. Select Add Time, and choose the user that you’re adding time for.
  3. In the drop-down adjust the date range if necessary by choosing This week, Last week, or Custom. Then choose the day you’re entering time for.
  4. Add the duration of hours worked, or turn on the Start/end times switch to enter a start time and end time.
  5. Click Add work details. Then select the Customer/Project drop-down and choose your customer or project.
  6. To make the timesheet billable, turn on the Billable (/hr) switch.
  7. Add notes or any other applicable options.
  8. Hit Done. If you need to add more timesheets for that worker, select Add and repeat steps 4-8 above.
  9. Press Save and Close.

Once done entering the billable timesheets, you’ll see details available when you create an invoice.

 

Here are the steps:

 

  1. On the left navigation menu, click Projects.
  2. Select the project name and click the Add to Project button, then choose Invoice.
  3. Choose the customer you want to invoice from the Customer drop-down menu.
  4. Your billable expenses and timesheets will appear in the Add to Invoice panel. Add all the billable expenses or time you want to add to the invoice.
  5. Complete the invoice and send it to your customer. 

Finally, you'll be able to see the transactions for this job in the Transactions tab in the project page.

 

For reference, you can check out this article: Enter billable time by job in QuickBooks Online.

 

To help track and manage your time in QuickBooks, feel free to read this guide: Track and manage QuickBooks Time in QuickBooks Online and QuickBooks Online Payroll.

 

You're always welcome to post a reply here if there's anything else we can help you with your QuickBooks account. We're here to provide the instructions. Take care and stay safe.

Terms & ConditionsAccessibility statement