Construction projects include multiple vendors and contracts, with large amounts of money going in and out of a project. Construction accounting is a method of accounting to ensure all construction costs that were estimated and budgeted are tracked. A construction accountant must meet the qualifications for working with multiple payments, insurance needs, and indirect and direct costs involved. Construction accounting differs from regular accounting and requires specialized training to understand revenue and billing in this industry and for particular organizations or projects.
How to Become a Construction Accountant
To pursue a career as a construction accountant, you need a bachelor’s degree in accounting, finance, mathematics, or a similar field. You may need some on-the-job training to familiarize yourself with your employer’s construction accounting software. Previous experience in an accounting role is beneficial, especially if you hope to transition into a supervisory position. You can also complete a construction management training course to learn specific construction-related accounting and business practices, such as working from an estimate on a project.
Construction Accountant Duties:
- Review project bids and estimates to ensure accurate price quotes and project scheduling
- Prepare and reconcile daily, weekly, and monthly reports and statements
- Prepare and file tax reports
- Control inventory, purchasing, and disposal of supplies
- Maintain all financial records including accounts payable and accounts receivable
- Prepare and manage billings
Construction Accountant Responsibilities:
- Maintain and track all costs related to construction projects
- Review contractors’ bills for accuracy and completeness, and approve payment requests
- Process invoices, requisitions, and purchase orders
- Review, approve, and process payroll, expense reports, and time cards
- Research and resolve invoice and billing disputes with contractors
- Audit all accounts against contractual terms, budgets, and time schedules
- Review and approve vendor invoices and subcontractor bills
- Maintain files on general ledger, assets, and mills
- Maintain files on contracts, warranties, insurance policies
- Prepare reports as necessary
