Revenues

The Revenues are captured in the GL account beginning with 4, which means all the sources of Revenue are recorded in GL accounts starting with the number 4.

Then we segregate the Revenues into types and we can follow the same account numbering sequence we used for the Costs.

The name of the revenue account in the GL is:

  • 4020 non-Government-Revenues ABC Company, Project 456, Phase 1
  • 1456897 (the name of this sub-account is). If you enter this GL account in the Budget section, this account will automatically appear in the GL where you record the actual amounts

As the phase of the project starts, the Revenue accounts can be invoiced exactly as the costs are, if that’s required.

What we are doing here is creating all the data to produce an Income Statement by:

  • each sub-phase and all sub-phases
  • by each phase and all phases
  • by each project and all projects
  • by each customer and all customers

All these details can be overwhelming to the average accounting office worker, especially if you are not familiar with the job costing process; however, once you have set up your chart of accounts to handle job costing, you save time in the long run because you have all the financial details about every job recorded in your GL. Could you imagine doing an RFP for a job that resembles a project you did 6 years ago and today you need to know the financial details of that previous job including the budget amounts vs actual amounts? My kingdom for a detailed general ledger.

The beautiful aspect of Plus & Minus is that it is a secular type of accounting software. We don’t call it Construction Job Costing because it can be used by law, engineering, architectural, accounting, property management firms, etc. Could you imagine being a property management company of a 900-unit apartment complex? Wouldn’t you just love to know which unit is costing you the most in direct and indirect costs? All those service calls you made to show that one tenant how to turn on the oven can now be recorded to a specific unit. How about an Income Statement by unit?

Could you imagine coming to work in the morning, enjoying your cup of coffee, and pulling up dashboard reports showing where you are with every job? What’s sweeter than an extra spoonful of sugar? And because Plus & Minus is on the cloud that cup of coffee, could be enjoyed anywhere there is decent coffee.

DATA =>INFORMATION=>KNOWLEDGE