Job costing allows you to assign income and expenses to specific jobs, and optionally break them down further by phases (like framing, electrical, etc.) and cost types (labor, materials, overhead). This gives you a granular view of profitability at every level of a project.
How It Works
- Set Up Jobs
- Go to Maintain > Job Codes to create a job.
- Assign a unique Job ID, description, and optional phases and cost codes (available in Sage 50 Premium and Quantum).
- Assign Transactions to Jobs
- When entering vendor bills, payroll, inventory adjustments, or sales invoices, you can assign them to a job and cost code.
- This links the transaction directly to the job for tracking.
- Track Time and Expenses
- Use Time Tickets and Expense Tickets to log labor and out-of-pocket costs.
- These can be billed to the customer or used for internal tracking.
- Monitor Job Progress
- Run reports like Job Profitability, Job Ledger, and Job Estimates vs. Actuals to see how you’re doing.
- You can compare actual costs to your original budget or estimate.
- Invoice Customers
- If you’re billing based on job progress or time and materials, Sage 50 can pull in job-related costs into customer invoices.
Why Use It?
- Real-time visibility into job performance
- Better estimating for future projects
- Improved cash flow by identifying underperforming jobs early
- Audit trail for every cost and revenue item tied to a job
Sage 50’s job costing is especially useful for construction, consulting, manufacturing, and service-based businesses where tracking profitability by project is essential.