Full expense MANAGEMENT process

• To See a Visual Click Here

There are 2 types of Expenses.

1. Expenses attributed to a Project (Materials, Fees, Subs, etc.)

2. Overhead/Company Expenses (Tools, Office supplies, etc.)

   * For Client Reimbursable expenses (hourly projects, time and material or open book scopes of work/projects) please click here for process

Types of Expenses Attributed to Projects

1. Subcontractor/Vendors

2. Project Purchases without a Purchase Order (Materials, Fees, Rentals, Etc.)

3. In-house Labor expenses

The Golden Rule: NEVER incur an expense or approve a sub-contract without prior written approval from a client. Approvals will be made in the form of the project's original contract or a change order.

Types of Overhead/Company Expenses

1. Non-Project Specific In-House Labor Expenses (Office Admin, HR Etc.)

2. Company/Overhead Expenses (Any Expense that is not Project Specific)

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project Related Purchases

Anytime you purchase something that does not have a purchase order associated. Follow the steps below. If you are unsure if a purchase was or is supposed to have a purchase order attached see the flow chart here.

• Upload Receipt Into Cost Inbox at time of purchase

• Project Manager Will Convert Receipt to Bill Weekly

• Prior to Converting a receipt to a bill make sure the receipt has all of the needed information filled out. See how to do this here

Creating A Bill from Receipt

• Leave Date Paid and Due Date Blank, Only Fill out The invoice Date will be the date paid on the receipt

• Under Pay to Section when creating a Bill, Never assign to Misc. Always assign to the applicable Sub,Vendor or store. Create a new Vendor/Sub Account if needed.

  *Mark all applicable T&M Bills as T&M variances

• Mark as Paid in builder trend if already paid

• Send Bill to QB

• Save and Close

• Mark Cost Inbox Receipt as Completed once Done

• Expenses will Be checked weekly for Matches

Requesting Payment for a Sub and Storing Payment Reciept

GOLDEN RULE: Always create a purchase order before hiring a sub/vendor

1. Open Purchase order

2. Create Bill from purchase order

3. Mark As ready for payment (Do not send to Quickbooks)

4. AP will check bills weekly and send to QuickBooks and pay

   ** For in-house or cash subs do not send Bill to QuickBooks

5. Once Payment is made AP will upload proof (Receipt, paid invoice etc.) as an attachment in the bill within buildertrend

   ** For in-house or cash subs once payroll is ran or sub is paid via cash Mark offline payment in buildertrend

OFF-field Hourly Expense Tracking

This will be the process for tracking Off-field labor expenses.

Process Summary:

1. Off Field team (Project Managers, Designers, Supers) will submit hours weekly on the weekly log form

2. Admin will track all hours per project per person and will be reviewed at the project end profit and loss review

Uploading a Company Overhead Expense

This will be the process for uploading Expenses for things like office supplies, equipment, or other miscellaneous Expenses not allocated toward a specific project.

IMPORTANT PROCESS NOTES:

• If a nondisposable Tool or Equipment is purchased for a job, this would still be considered an overhead expense, however, make note of this on the Upload.

Process Summary:

1. Fill out and Submit the Receipts form Here

2. Expenses will be Uploaded to Quickbooks by Admin as an expense

3. Square Space Log of Expenses Will Be Reviewed Bi-Monthly By Owners

4. Expenses should show as a match found when being reviewed in bank transactions in QuickBooks weekly

Infield Labor Expense Tracking

This will be the process for tracking infield labor expenses.

Process Summary:

1. In Field Team will clock in on builder-trend and select the appropriate project and cost code

2. At the end of the day super intendant will check time clock to make sure the correct location was selected and the correct cost codes were set for all employees. Etc

3. Super intendant will mark all shifts as approved.