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How to Get a Grip on Job Costs with Sage Construction Software

5/14/2015

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Sage Construction Job Costing
Accounting and job costing are the backbone of any construction business. But many small contractors don’t have the right tools and technology to figure out when a job goes off track and unexpected costs pile up until after a project is complete – and by then, it’s too late.

In this article, we’ll explore how construction software like Sage 100 Contractor or Sage 300 Construction and Real Estate (CRE) can boost your bottom line by tracking project costs in real-time.

When You Grow, Intuition Doesn’t Cut It

Ask any Sage Construction Software Provider and they’ll tell you that one of the top challenges in the industry is accurate job costing.

Scores of companies recall how easy it was to track projects, estimates, and costs when the business was small or just starting out. An owner’s intuition about the status of every job is more reliable when there are fewer projects to keep track of.

But as a construction business grows and becomes more successful, that intuition can start to get a little cloudy as you hire more people, pick up more projects, process more invoices, and delegate work across your team.

The Challenge of Off-The-Shelf Accounting and Spreadsheets

Most companies start out with off-the-shelf accounting software just to track money coming in and out. To track project details, you might add a few spreadsheets to the mix.  Then you throw in a stack of hand-written notes and change orders that didn’t show up until after the project was complete, and you can see how things get out of hand quickly.

With this disconnected patchwork of software, spreadsheets, and hand-written notes, it’s almost impossible to know how much money you made (or didn’t!!) until after a project is complete and all the bills are paid.  By the time the bookkeeper pulls the pieces together and runs the numbers, it’s WAY after the fact and too late to do anything about it.

Pull Your Business Together

Keeping accurate and up-to-date “real time” job costs starts with the right tools. Software that’s made specifically for the construction industry, like Sage 100 Contractor or Sage 300 CRE, solves the problem by consolidating everything you need to know in one single location – from accounting, estimating, and scheduling to project management, job cost, and service management. 

No more spreadsheets, no more hand-written notes, and no more off-the-shelf bookkeeping programs that buckle at the knees when you do anything more than pay bills and send invoices.

Even workers in the field can use a mobile device or laptop to enter project updates, labor, materials, and change orders directly into Sage 100 Contractor or Sage 300 CRE. No need to jot things down for later or wait until they get back to the office to update the system.

When data flows seamlessly and instantly from one part of the system to the rest, you eliminate the double data entry, cutting and pasting of information, and miscommunication that siphons off your profits and productivity. You can also trust that client invoices include all the correct job costs and your budgets reflect up-to-date actuals because those details aren’t scattered across different spreadsheets, laptops, and hand-written notes that get transposed or lost in translation.

What good is all this project management and job cost tracking if you can’t extract the knowledge and insight you need to take action?

That’s why Sage Construction Software features loads of reports and system inquiries that deliver a current view of your whole business, and in real-time. So if a project starts to go sideways and rack up a bunch of unexpected costs, you can make a course correction while the job is still active and preserve your profit.

Click to check out some sample reports

Knowledge Is Profit

Sage Construction Job Cost Report
Know where you really stand with your job costs, and drill down from the report to the record detail in Sage Construction Software.

Need Better Job Costing?

Click below to get in touch with one of our Sage Construction Software providers and find out how Sage 100 Contractor or Sage 300 CRE can pave the way to better efficiency and profits for your business.
Sage 300 Construction Partners
Sage 100 Contractor Partners

Related Articles You Might Like:
How to Win More Bids and Projects With Sage Estimating
5 Reasons to Upgrade from QuickBooks to Sage 100 Contractor
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