Recording Subcontractor Costs on a Specific Project

This is a clarification about adding subcontractor costs to a specific project in the accounting system. You can record subcontractor costs using these steps:

First: Adding the Contractor

1. Go to Purchases

2. Click on Suppliers

3. Click on Add New Supplier

4. Record the contractor’s information as a supplier

Second: Creating the Contractor’s Invoice

1. From Purchases > Purchase Invoices

2. Click New Invoice

3. Select the contractor from the suppliers list

4. Select the Project associated with the invoice

5. Enter the work details and cost

6. Click Save

What Happens Accounting-wise?

• The system records the amount as an expense on the project (debit)

• And records it as due to the contractor (credit)

Additional Notes:

• You must link the invoice to the project so it appears in the reports

• You can pull a project cost report from Reports > Projects

Keywords for inquiry:

• How do I add subcontractor costs to a specific project in the accounting system?