Cost Code Audit & Cleanup Articles

Job Costing

Construction Labor Burden Rate: What Builders Actually Pay Per Hour

The actual cost to employ a worker in construction is 28–38% above their base wage once you add payroll taxes, workers' comp, benefits, and tool allowances. Most builders at $500K–$3M who haven't calculated their labor burden rate are underpricing their labor by $8–$15 per hour. Across a typical crew of 4–6 workers, that's $40,000–$120,000 in lost gross profit every year — and it's invisible until you run the math.

Financial Systems

Construction WIP Reports: What Builders Need for Banking and Bonding

A Work in Progress report is the financial schedule that shows how much revenue you've earned on active jobs versus how much you've billed. Most builders at $500K–$3M don't produce one — and it's exactly what your bank, bonding company, and GC clients ask for when you want more capacity. Here's what WIP measures, why it matters, and how to build the schedule in under two hours.

Financial Systems

Job Costing in QuickBooks for Builders: The Setup That Actually Works

Most builders use QuickBooks for invoicing and taxes but never configure it for job costing. Here's the Customer:Job setup, item structure, and five-code system that delivers real gross margin visibility by project.

Financial Systems

QuickBooks and JobTread Don't Match — Here's Why (And How to Fix It)

If your QuickBooks numbers and JobTread numbers live in different universes, you're not alone. Misaligned systems cost builders 5-10 hours per week in manual reconciliation — and most of that time is wasted. Here's how to actually fix the sync.

Financial Systems

Construction Cash Flow: Why Profitable Builders Still Run Out of Money

Having good margins and running out of cash are not contradictory. In construction they happen together all the time — because revenue arrives in draws while costs hit in bursts. The fix isn't more revenue. It's aligning your draw schedule to your actual cost timing and tracking your 30-day cash position every week.

Financial Systems

Financial Opacity: You're Running a $2M Business on Gut Feel

If you can't tell which of your active jobs are profitable right now, what your cash position will be in 60 days, or what your real net margin was last year — you're operating blind. Here's how to get real financial visibility.

Financial Systems

5 Signs Your Construction Cost Codes Need an Audit

If you have more than 40 cost codes and can't tell which jobs are profitable, your cost code structure is costing you money. Here are the warning signs every builder should know.