Stop Guessing if Your Hard Work Will Pay Off: Project Profitability

Who can use it?

Anyone who can subdivide their service down into projects that need to track the costs of expenses and billable time to find out if they are actually turning a profit on individual jobs.

This can be projects like:

Construction or Contracted jobs

Law cases

Decorating projects

Marketing campaigns

Events for planners

…the list goes on…

Why use it?

It wouldn’t be wise or prudent to keep plugging away, working hard while only covering costs, or even worse losing money! If you aren’t tracking the costs of a long term project, it is easy to lose site of how much you really have invested. Also, you can reconsider what you are charging to ensure your hard work brings in the money.

How can I efficiently do this without it taking too much time?

Fortunately there are a lot of wonderful tools that can pull everything together for you, but the thread that ties all this together is Quickbooks Online Projects. This is free for Plus and Advanced users of QBO, it just has to be turned on and implemented.

The second part of this if you have employees involved is TSheets. TSheets is an integrated app that works wonderfully with QBO to track employee time, assign it to a job and then send it over to payroll. It’s like a mobile time clock (they do have actual time clocks to integrate with as well). So imagine your employee arrives on a job, he clocks in and assigns it to the Brothers Landscaping project. When he leaves, he clocks out of that job and maybe he is on to the next. You also have GPS tracking for when they fudge or forget. Now you have easy time that you can track towards the costs of the job and timekeeping is done for you.

No employees? Don’t worry, there is still a way to add your hours as a cost to this job if you aren’t going to integrate it with payroll or timekeeping, that’s all within QBO Projects.

Bills, fees, & various job related expenses can be tracked easily too. All of these can be pulled in electronically into Quickbooks Online and assigned to jobs. Don’t worry, it will remind you to invoice them if you deem it billable, or it isn’t billable you can still add it to the job.

Receipts? Don’t worry you an add a receipt via mobile QBO and not only mark it billable, you can split it among projects and take a picture for record keeping. Or even easier, email it to QBO and it will go to your accountant to review (ask about this feature).

You will have dashboard with at-a-glance profitability tracking so you can quickly look at a project and see where you stand on costs and profit. There are also printable reports as well.

This will take minimal time investment and with the right bookkeeper, they can take the majority of this from you and keep you busy on turning the profits and doing what you love.

I have also included additional tools and information directly from the QBO Intuit website below.

“Here are some helpful project management apps that connect seamlessly to QuickBooks
  • Housecall Pro – Ideal for HVAC, electrical, plumbing and pest control businesses, this app focuses on dispatching workers to your client’s home. Online booking, mobile notifications and GPS tracking make this app appealing to customers by providing accessible, real-time updates.

  • BigTime – Tailored for professional services such as consultants, engineers and government contracting, BigTime features time and expense tracking, budgets, workflow management, approvals, WIP management, and billing. Pro tip: Big Time also has tools to help you stay in compliance with DCAA for government contracting.

  • Corecon – Designed for general contractors and engineering firms, Corecon is a comprehensive construction app that offers modules for business development, estimates, contract administration, procurement, time tracking, correspondence, document control, QC and scheduling.

  • RedTeam – This construction app manages all aspects of your construction process. With an intuitive interface and real-time updates, RedTeam enables construction and finance teams to collaborate effectively online at all stages of a project.

  • Aero Workflow – Designed by accountants for accountants, Aero Workflow facilitates profitable value-based billing. You can schedule and assign tasks, store processes and procedures, and turn your firm into a scalable practice.

  • LeanLaw – This app for lawyers helps you track time, create invoices and manage trust accounts in a few clicks. Time entries seamlessly convert to invoices you send through QuickBooks.

  • RepairShopr – For every kind of repair shop, RepairShopr helps you manage tickets, customer information, estimates and invoices. RepairShopr integrates with QuickBooks for easy invoicing”

2 views0 comments