Job costs
Each house is its own job
Costs are coded by house and by phase, from slab to punch list, so you can see which plans and which subs make money.
Accounting for residential builders
Every house is its own job, with its own budget, draws and deposits. We keep costs by house, track what the bank and buyers have paid, and show you the margin on each home before it closes.
What we watch for
Where the money is won or lost.
Cost per house, construction loan draws, customer deposits and spec homes.
Draws
Construction loan draws
Draw requests are matched to the work and the costs on the books, so draws go in on time and paperwork does not hold up cash.
Deposits
Customer deposits
Deposits and upgrade payments are owed in work until the house is built. We keep them apart from revenue so your statements stay accurate.
Spec homes
Spec homes as inventory
Costs on homes built without a buyer are carried as inventory until sale, with carrying costs tracked, so the real margin shows at closing.
Warranty
Warranty, coded back
Warranty callbacks are coded back to the house and the sub, so repeat problems show up in the numbers.
Monthly reporting
The numbers we report every month.
A short schedule, the same every month, so you can see the trend as well as the number.
| Line | Number | What it tells you |
|---|---|---|
| 01 | Margin by house | Sale price less all costs, for every home |
| 02 | Cost per square foot | By plan, against your estimate |
| 03 | Days in construction | Start to closing, by plan |
| 04 | Spec inventory | Costs carried on unsold homes |
| 05 | Warranty cost | Callbacks as a share of revenue |
Tax
Tax notes for 2026.
Any size
Home construction contract exception
Homes and percentage of completion
Home construction contracts are exempt from the percentage-of-completion method whatever your size, so profit on a house is generally taxed when it is finished.
$2,000
1099-NEC threshold, 2026 payments
Subcontractor 1099s
For payments made in 2026, file a 1099-NEC for each unincorporated subcontractor paid $2,000 or more (it was $600). Forms for 2026 are due February 1, 2027, because January 31 falls on a Sunday.
Do you work with both custom and spec builders?
Yes. Custom homes are tracked as contracts with deposits and draws; spec homes are tracked as inventory until they sell.
Can you help with construction loan draws?
We keep costs and completed work current so your draw requests match the books. The lender's inspector still signs off on the work itself.
What does it cost?
Construction packages start at $2,275 a month for businesses under $500K in revenue, plus a one-time onboarding fee. The pricing page shows your starting price in six steps, and your formal quote follows a free call.
How do we get started?
Book a free 30-minute call, or send your details and we will follow up within one business day.
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