QuickBooks Setup Checklist - Contractor Edition

1. Introduction

Proper QuickBooks setup is critical for contractor success. This comprehensive checklist ensures your accounting system is configured to handle the unique needs of construction businesses, including job costing, progress billing, and project-based financial tracking.

Alliance X Ecosystem Integration: This setup checklist is designed to work seamlessly with BuildSuite™ and other Alliance contractor tools, enabling automated data synchronization and streamlined financial operations.

2. Pre-Setup Requirements

Gather business license and tax identification numbers

Collect bank account information and statements

Prepare list of existing customers and vendors

Document current active projects and contracts

Install QuickBooks Pro/Premier/Enterprise (Desktop) or QuickBooks Online

Verify Alliance X integration capabilities and API access

3. Chart of Accounts Setup

Configure contractor-specific accounts for accurate financial tracking:

Account Type	Account Name	Description
Income	Construction Revenue	Primary construction income
Income	Change Orders	Additional work revenue
Income	Retention Revenue	Retained amounts receivable
Cost of Goods Sold	Materials - Job Costs	Direct materials per project
Cost of Goods Sold	Labor - Job Costs	Direct labor per project
Cost of Goods Sold	Equipment - Job Costs	Equipment costs per project
Cost of Goods Sold	Subcontractor Costs	Subcontractor expenses
Other Current Assets	Retention Receivable	Amounts held by customers
Other Current Assets	Work in Progress	Unbilled project costs
Current Liabilities	Customer Deposits	Advance payments received

Create contractor-specific chart of accounts

Enable job costing features

Set up class tracking for business divisions/locations

4. Tax Considerations and Settings

Tax Setup Checklist:

Configure sales tax items and rates by location

Set up payroll tax preferences

Enable 1099 tracking for subcontractors

Configure tax forms and reporting preferences

Set up equipment depreciation tracking

Configure prevailing wage tracking (if applicable)

5. Job Costing and Project Tracking Setup

Customer and Job Configuration:

Create customer records for all active clients

Set up job records for each project

Configure job types (Residential, Commercial, Government, etc.)

Enable estimated vs. actual cost tracking

Set up phases for multi-phase projects

Configure cost code structure for detailed tracking

Item Setup for Job Costing:

Create service items for labor categories

Set up inventory items for materials

Configure assembly items for job packages

Enable two-sided items for job costing

6. Progress Billing Configuration

Enable progress invoicing features

Set up invoice templates with contractor-specific fields

Configure retention percentage tracking

Set up AIA-style billing formats (if required)

Enable percentage completion tracking

Configure change order billing procedures

7. Financial Reporting Setup

Essential Contractor Reports:

Job Profitability Summary

Job Cost Detail Report

Work in Progress (WIP) Report

Cash Flow Forecast

Equipment Cost Tracking

Subcontractor Expense Report

Retention Tracking Report

8. Alliance Integration Benefits

BuildSuite™ Integration Features

Automated project data synchronization from project management tools

Real-time job costing updates from field operations

Equipment tracking integration with GPS and maintenance systems

Time tracking integration from mobile workforce apps

Material procurement integration with supplier systems

Document management system integration for financial records

Alliance X Ecosystem Benefits: Seamless data flow between estimating, project management, field operations, and financial systems reduces manual entry and improves accuracy.

9. QuickBooks Optimization Tips

Set up automated bank feeds for real-time transaction import

Configure recurring transactions for regular expenses

Enable mobile app access for field data entry

Set up user permissions for different team roles

Configure automated backup procedures

Enable multi-currency support (if working internationally)

Set up inventory tracking for materials and equipment

10. Implementation Timeline

Week 1: Foundation Setup

Complete pre-setup requirements, install software, configure basic company information and chart of accounts.

Week 2: Customer and Job Configuration

Set up customers, jobs, items, and enable job costing features. Configure tax settings and vendor records.

Week 3: Billing and Reporting Setup

Configure progress billing, invoice templates, and essential financial reports. Begin Alliance integration setup.

Week 4: Testing and Optimization

Test all workflows, complete Alliance X integration, train users, and go live with new system.

11. Support Resources

Resource	Contact Information	Available Hours
Alliance Technical Support	[email protected]	24/7
BuildSuite™ Integration Team	[email protected]	Business Hours
QuickBooks Certified Consultants	[email protected]	Business Hours
Training and Documentation	training.alliancecontractors.com	24/7 Online Access

Next Steps: After completing this checklist, schedule a follow-up consultation with our Alliance X integration specialists to ensure optimal system performance and explore advanced automation features.

© 2024 Alliance for Contractors - BuildSuite™ Professional Services
This document is part of the Alliance X ecosystem for integrated contractor management solutions.