We hear from many QuickBooks Online users that they struggle with doing full job costing within QuickBooks Online. Read more below on how one of our Transaction Pro Partners, Silicon Valley Accounting Solutions, solved this shortcoming within QuickBooks Online.
The “Projects” feature within QuickBooks Online Plus can help users more easily see job profitability and other job related reports. However, there is unfortunately still no job costing for direct labor in QBO. For service based businesses, direct labor is often their largest job expense and all these great job costing reports lose their value without that component.
Our firm, Silicon Valley Accounting Solutions, had a client looking for an alternate solution to get their direct labor allocated by job and we were happy to take on the challenge. The most popular workaround solutions found in online searches entail use of Classes as an alternative to use of Customer:Job (aka Projects with the new QBO feature). This is because while you cannot tag QBO payroll transactions with a Project, you can tag them with a Class if you have your preferences set up properly. However, you then have your job expenses being tracked outside of the built in QBO Projects report templates and what if you need your Classes to be used to track department by department activity instead of uses Classes for tracking jobs. Oh, and what if you process your payroll outside of QBO altogether? How will you get that labor cost by project into QBO? These were the questions we faced with this client’s need.
Transaction Pro Importer was our solution!
We created an Excel based template for our client where each payroll run, we simply plugged in the hours for each employee by Project and it feds the data into an importable Journal Entry. Transaction Pro Importer brings that Journal Entry into QBO and all the client’s labor costs (including payroll taxes, worker’s compensation and other payroll related expenses) are allocated to a Project. From there, the client is able to use the built in Project reports (job profitability, budget vs actual, etc) to see a full picture of the job costs. The initial build of the template takes a couple hours, but once it is set up then you are only spending 5 extra minutes each payroll to get invaluable business information!
Let us help you see the true costs of your projects!
Silicon Valley Accounting Solutions is proficient in the full suite of TransactionPro tools for use in conversions to/from QB Online or QB Desktop, merging multiple company files, data-integration from outside third party apps and any other applications to improve efficiency and automation. We can deliver results remotely from the Silicon Valley Accounting Solutions office or on-site with client staff. We are available to our clients on an ‘as needed’ basis and focus on delivering what they need, when they need it. With a full complement of accounting skills at all service levels, our core team members have created efficiency in their processes and bring continuity to each job from their years working together. We’ve done and seen it all, so let us help you through your next data related accounting project. Check out our Intuit ProAdvisor reviews to see what our clients have to say: