QuickBooks Desktop for Construction: Percentage of Completion Method

[@lizalejandromartinez6945]

You are an amazing instructor. Percentage of completion is another can of worms. Thank you for such detail.

[@HectorGarciaCPA]

It is

[@LillyT-z3o]

I'm a bit confused, When it comes to collecting a second phase payment, do we revise the recognized revenue invoice WIP and the date remains the unchanged?

[@HectorGarciaCPA]

Payments do not change the recognition. Its the contractual conditions that do

[@2010rumaiz]

I am bit confused in your under/over billing. There we have received less for the workdone. So we need to add. But the figure you recognised in the income statement is already correct. What you need is to show that 61000 in current asset as receivable. Am i correct?

[@AceCPAsBookkeeping]

TLDR: QuickBooks Desktop can be used to track revenue and expenses for construction projects using the percentage of completion method, job estimates, billings, and job cost features, ensuring accurate recognition of income and consistent margins. 00:00 🏗 Invoicing partial payments for construction projects using QuickBooks Desktop and calculating estimated costs, markup, and margin. 02:51 🏗 Recognize income based on percentage of completion, not payment schedule, and create invoices for actual completion percentage using phase payment item code. 07:28 🏗 Tracking revenue and expenses for construction projects in QuickBooks Desktop involves using the percentage of completion method, job estimates, billings, and job cost features. 11:58 🏗 Recognize income based on percentage of completion, not payment received, and use progress invoicing for internal purposes only. 14:55 💡 Use QuickBooks Desktop for construction to create a template for recognizing revenue based on work in progress and avoid invoicing and emailing clients by mistake, ensuring consistent margins and calculating gross profit based on the programmed markup. 19:36 💡 Recognize accounts receivable and payments in QuickBooks for construction projects using the percentage of completion method by creating custom reports and applying payments to AR through invoices. 23:19 💡 Apply percentage of completion method to recognize revenue and adjust accounts receivable in QuickBooks Desktop for Construction. 26:00 💡 Create an account for over/under billing in construction to recognize work in progress and adjust cash basis profit and loss.

[@HectorGarciaCPA]

:)

[@isabelalonso114]

We need someone to come to our office in Doral, Florida to train us using Quickbooks Enterprise for construction company. Any suggestion?

[@HectorGarciaCPA]

We can help with that… saw your email

[@heatherhorne5689]

Which is better for home builders; QB Desktop or QB online?

[@Rs-qc8mq]

Is this still available

[@dabaareismail6173]

So help full lesson.thank you....I need full tutorial about quick book construction accounting please.

[@HectorGarciaCPA]

Dabaare Ismail there are several videos on the topic.

[@khairalassas3756]

Maaan you’re insane, thank you for your video

[@susanbankert1351]

If my business has 2 rental properties and I have separate bank accounts for each property- how do I set that up in Quickbooks? Thanks for your help in advance!

[@HectorGarciaCPA]

Create the two bank accounts... and use classes to track income/expenses per Property

[@iqbalkheyratty3057]

I never take any course on Quickbooks but i can do everything on Quickbooks all you need is some programming knowledge

[@autimnicholas4512]

how do i set up a loan business with compound interest rate

[@HectorGarciaCPA]

autim nicholas I’m an not sure if I have a video on that.

[@HectorGarciaCPA]

autim nicholas are you lending the money or borrowing it?

[@autimnicholas4512]

I am lending the money

[@ishfaqkhan3918]

Hi Hector. Is percentage of completion method still valid after IFRS15? Pls confirm

[@HectorGarciaCPA]

I dont know IFRS

[@lorenacruz2737]

Ok im in trouble then.. I being doing this th easy way...using Quickbooks Online.. 1st .Create project 2nd...Purchase order 3.expenses as we go, including contractors 4.Create invoice 5.rcvd check(pmts) 6.create bills and pay bills...

[@HectorGarciaCPA]

QB online is not quite perfect for construction.

[@theshivelyfamily]

As usual, this a great video by Hector. Does anyone have experience with a program to create AIA G702/G703 payment applications? We have used Knowify w/QBO but looking for one for QB Desktop. We're currently using an Excel file, which isn't too laborious -- but would still like something more time efficient.

[@HectorGarciaCPA]

I think SunBurst Software does one.