How To Setup Work In Process For Home Builders Using QuickBooks Online

As a home builder, when you are building a new home whether it is a spec home or a custom home; you will need to post all of the costs associated with building the home to an asset account. The new house is considered an inventory asset on your balance sheet. Once the home is sold or progress invoicing is completed then you would either move all of the costs to the income statement or a portion of them depending on the completed progress of the project. This is where I see a lot of confusion for beginning home builders who may not fully understand how to properly account for new construction projects. If you would like some guidance on this topic, feel free to reach out to us at [email protected] or send me a message and let's talk. #constructionaccounting #constructionbusiness #homebuilding #homebuilder #homebuilders