Accounting Services for Construction
Conquer industry challenges with Today CFO’s proven accounting, CFO, and tax services
ACCOUNTING FOR CONSTRUCTION
COMPANIES AND CONTRACTORS
Construction accounting differs greatly from accounting in other industries due its nature. Unlike other industries, construction is generally project-based. Revenue comes in spurts, and each project has its own set of obstacles, material costs, and even legislation. Another distinguishing feature of the construction sector is its decentralized structure; work is performed on various job sites rather than in a single office or store. This means higher transportation expenses and a higher chance of damaging assets on route.
Inexperienced accountants can cost your company money and potentially put you at danger of IRS audits. A client-centered, results-oriented accounting and tax firm like Today CFO will ensure that your construction company meets its specific goals while prioritizing company growth.
Your Construction Accounting
Solutions Under One Roof
The payroll system in the construction business is complicated due to its decentralized, project-centric orientation. Some projects require you to pay each worker the prevailing rate for their appropriate worker classification in the project’s geographical area. Your accountants must next certify your compliance with prevailing wage payroll using a process that varies by state.Furthermore, if your company has projects in various towns or states, employees may be subject to multiple tax withholdings on a single paycheck.
Construction, unlike more centralized, stable sectors, requires a way of recording and reporting transactions on a job-by-job basis. This strategy is known as job costing, and it is one of the most fundamental aspects of construction accounting.
Job costing works in unison with the general ledger to provide a complete picture of a company’s finances. However, unlike the general ledger, which reports on accounts, job costing reports on particular projects, cost actions, and cost kinds.
Even if you do everything correctly, the IRS may still choose to audit your company. When this occurs, properly produced and arranged financial accounts will save your company from expensive fines, penalties, and additional requirements– especially in the construction industry, where every detail must constantly be accounted for.
Today CFO’s accountants have received audit defense training and understand how to deal with the IRS.
Learn how our industry-focused services can assist you in staying ahead of the game and concentrating on what matters most: creating winning projects.
Our CPAs and financial specialists at Today CFO have years of accounting experience in the construction business. These experts understand the intricacies of construction finance and how to stay in compliance with the IRS while adhering to optimal business practices.
WE GUIDE YOU THROUGH EACH STAGE OF YOUR FINANCES LIFE CYCLE WITH OUR EXPERTISE IN:
Asset and Data Protection
Financial Statement Preparation
Accounts Payable and Receivable
Tool selection and process improvements
The construction business is known for having complex accounting challenges, audit procedures, and tax issues, making accounting for construction corporations and contractors particularly difficult.
Rather than sacrificing your time or risking falling behind on deadlines, outsourcing your accounting tasks to industry experts will save you days of tedious accounting work and money.