Bookkeeping · construction

Construction Bookkeeping with profit tracked by job

Construction bookkeeping for contractors and small construction and remodeling companies in any state: we track profit on every job in QuickBooks Online or Zoho Books, handle subcontractors and Forms 1099-NEC, tie the books to crew payroll and hand over tax-ready books. Packages start at $200 a month.

Who our construction bookkeeping is for

General contractors with several jobs

Several projects run at once, and the money from all of them lands in one account. We separate revenue and costs by job.

Subcontractors and remodelers

Electrical, plumbing, finishing, roofing: you work for general contractors or directly for homeowners. We keep the books so your revenue matches the 1099s you receive.

A crew on payroll plus subcontractors

Some people are W-2 employees, others are 1099 contractors. We handle both groups and tie the books to payroll.

No clear picture of which jobs pay

Revenue grows but cash doesn't. Job costing shows where materials, rework and subcontractors eat into your margin.

What construction bookkeeping includes

Job costing

QuickBooks Online uses projects or classes (Plus and Advanced plans), Zoho Books uses projects and reporting tags. We assign revenue and every cost to a job and show its profit every month.

Materials and equipment

Materials go to the job they were bought for. Equipment and machinery that last more than a year and serve many jobs are tracked as fixed assets and written off through depreciation.

Subcontractors, W-9s and 1099-NECs

We collect W-9s before the first payment and track what each subcontractor is paid, so Forms 1099-NEC are ready in January.

Crew payroll

We run payroll in QuickBooks Payroll or Gusto and, where the software allows, assign wages to jobs, so labor shows up in each job's profit.

Job costing example: profit on one job

A kitchen remodel under a $40,000 contract. In the overall report this money is mixed with other jobs; job costing shows what this one actually earned.

contract

$40,000

job revenue

costs

$31,000

materials $15,000, electrical subcontractor $6,000, crew $10,000

profit

$9,000

22.5% of the contract

Illustrative numbers. When profit is tracked job by job, you can see which work is worth taking on and where the contract price doesn't cover the costs.

Subcontractors and Form 1099-NEC in 2026

IRS rules for payments made from January 1, 2026:

Form W-9 before the first payment: the subcontractor's name, address and taxpayer ID (SSN or EIN)

Form 1099-NEC if a subcontractor is paid $2,000 or more in 2026 (the threshold used to be $600)

Deadline: January 31 of the following year, both to the subcontractor and to the IRS

Generally not required for corporations, including LLCs taxed as S-corps or C-corps

Payments by card or through payment apps are left off Form 1099-NEC — they're reported on Form 1099-K

Without a W-9, you may have to withhold 24% from payments (backup withholding)

If you have 10 or more information returns in total, including W-2s and other 1099s, you must file them electronically

Form 1099-NEC preparation is $30 per form; the PREMIUM package already includes 1099 preparation. See all bookkeeping prices →

Construction bookkeeping pricing

The price depends on your monthly transaction volume and how complex the books are. We pick the package after a short conversation about your business.

up to 75 transactions/mo

$200

BASIC · a small contractor with one or two accounts

up to 150 transactions/mo

$350

STANDARD · several jobs and subcontractors; + balance sheet and contractor (1099) tracking

up to 250 transactions/mo

$570

PREMIUM · + 1099 preparation and quarterly estimated tax reminders

One-time: QuickBooks or Zoho Books setup — $200, catch-up bookkeeping — from $180 per month. Crew payroll — from $150 a month for up to 3 employees. Sales tax on materials and labor depends on the state; registration and returns are a separate service. The software subscription is not included. See all bookkeeping prices →

How our construction bookkeeping works: 4 steps

We work online with construction companies in every state. Documents are shared through our secure client portal.

A call about your business

How many jobs run at once, who is on payroll and who is on a 1099, which return you file. We pick a package and quote a price.

Software setup

A chart of accounts for construction, projects or classes for each job, bank and card connections. No software yet? Setup is $200.

Monthly bookkeeping

We assign transactions to jobs, reconcile bank and card accounts and send a Profit & Loss report — for the whole business and by job.

Year-end

We close the year, prepare 1099-NECs for subcontractors by January 31 and hand over the books for your return: Schedule C, Form 1065 or 1120-S.

What to prepare

Statements for business bank and card accounts — or online banking access

A list of current jobs with contract amounts

Subcontractors' W-9s and what you paid each of them this year

Payroll records, if you have employees

Construction bookkeeping FAQ

How much does construction bookkeeping cost?

Packages start at $200 a month. The price depends on transaction volume and complexity: BASIC, up to 75 transactions a month — $200; STANDARD, up to 150 — $350; PREMIUM, up to 250 — $570. We pick the package after a short call.

What is job costing and why do I need it?

It's tracking revenue and costs for every job: materials, subcontractors, crew wages, equipment rental. It shows which jobs make money and which ones just break even, and helps you price the next contract more accurately.

Do I need to send Form 1099-NEC to subcontractors?

Yes, if you paid a subcontractor $2,000 or more in 2026 — the threshold used to be $600. The form goes to the subcontractor and the IRS by January 31 of the following year. It's generally not required for corporations, and payments by card or through payment apps are left off it. Preparation is $30 per form.

A subcontractor won't give me a W-9. What should I do?

Ask for the form before the first payment. If you never get a taxpayer ID, you may have to withhold 24% from reportable payments (backup withholding) and send it to the IRS.

Are my crew members employees or contractors?

It depends on the actual working conditions, not the contract. The IRS looks at how much the company controls how and when the person works, who pays for tools and materials and how permanent the relationship is. If it's unclear, you can ask the IRS to determine status with Form SS-8. Employees need payroll — from $150 a month.

Do I pay sales tax on materials?

It depends on the state: rules for construction materials and labor differ from state to state. We go over your situation at a consultation; sales tax registration and returns are a separate service on our price list.

How do I write off equipment and machinery?

Through depreciation. For equipment acquired after January 19, 2025, the One Big Beautiful Bill Act brought back 100% bonus depreciation, so the cost can be deducted in the first year. We decide what works best when preparing your return; a depreciation schedule is $50 per asset.

My books are behind. Where do we start?

With the current month: we connect your bank and cards and keep the books on a package. The missed months are rebuilt from statements — from $180 per month — so you have a full year at tax time.

Let’s start with a free 15-minute interview

Send us a request — we’ll get back to you within one business day, hold a free 15-minute interview and give you a price.

Send a request — it’s free Call: +1 (929) 340-2427