Construction bookkeeping for custom home builders
Bookkeeping that is organized around the houses you build, not just your bank accounts.
Short answer: Construction bookkeeping for a custom home builder means recording every cost against the house and cost code it belongs to, tracking deposits, draws and change orders by house, and closing the books each month so the builder can see margin while homes are still being built.
What makes builder bookkeeping different
A general bookkeeper reconciles the bank and sorts expenses into categories like "Materials" or "Subcontractors". That is enough for a tax return. It is not enough to tell you whether Lot 14 is making money.
Builders carry several homes at once, each with its own budget, lender, draw schedule and change orders. Cash comes in on the lender's schedule and goes out on the subs' schedule. If costs are not tied to the right house, the profit and loss statement looks fine right up until a closing shows a thin or negative margin.
What we do each month
- Reconcile bank, credit card and loan accounts
- Code every bill, receipt and card charge to a house and cost code
- Log change orders and track whether they have been billed
- Prepare the lender draw package: cost to date, invoices, lien waiver checklist, percent complete
- Close the month within 10 business days of month end (our target)
- Walk through each house with you on a 20 to 30 minute review call
Software we work in
QuickBooks Online, with Buildertrend or JobTread for project management. If you are on QuickBooks Desktop or spreadsheets, we can talk through a move during the Checkup.
What it costs
Builder Books is $1,500 a month for up to 5 active homes. Builder Controller is $2,900 a month for 6 to 10 active homes. Setup is quoted after a $750 Job Cost Checkup, which is credited to your first month if you sign up. See full pricing.
Common questions
Do you do taxes?
No. We keep the books and hand your CPA clean, organized records. Your CPA files the return.
Can you work with my existing CPA?
Yes. We work alongside your CPA and send the schedules they ask for.
Do you only work with builders in Michigan?
No. We are fully remote and work with builders anywhere in the US.
Related
By John Mos, Founder. Updated . We do not give tax or legal advice. Please ask your CPA or attorney.
See where your margin goes, house by house.
Tell us about your homes and your books. If we are a fit, we start with a $750 Job Cost Checkup: written findings and a fixed quote in 10 business days, credited to your first month if you sign up.