[ Bookkeeping Built for Builders ]
Construction Bookkeeping
Accurate bookkeeping is the foundation of every profitable construction business. We maintain clean, construction-aware records — with job costing, CIS tracking and VAT built in — so you always know your true margin and tax position.
Job costing
Profit tracked per project and stage
CIS
Subcontractor deductions reconciled
VAT
Construction VAT and flat rate handled
Cashflow
Clear, current, decision-ready
Construction bookkeeping is fundamentally different from standard retail or services bookkeeping. You have multiple jobs running at the same time, each with its own materials, labour and subcontractor costs. You have CIS deductions to track on every subcontractor payment. You have VAT that might be standard rate, reduced rate, or subject to the domestic reverse charge. And you have stage payments, retention, and work-in-progress that all need to be accounted for correctly.
We set up your bookkeeping so that every transaction is coded to the right job, every subcontractor payment has CIS deducted correctly, and every VAT entry uses the right rate and scheme. We work with Xero, QuickBooks and FreeAgent, and we reconcile your bank, credit card and supplier statements every month so your records are always current and decision-ready.
The result is management reporting that actually tells you something useful: which jobs are profitable, which are eating your margin, where your cash is tied up, and what your tax bill will look like at year-end. That is the difference between bookkeeping that just satisfies HMRC and bookkeeping that helps you run a better business.
[ What We Handle ]
Construction Bookkeeping — the full scope.
- ◢Construction-sector bookkeeping on Xero, QuickBooks or FreeAgent
- ◢Job and project costing with stage-by-stage margins
- ◢CIS subcontractor deduction tracking and reconciliation
- ◢VAT on construction — standard, reduced and flat-rate schemes
- ◢Bank, credit card and supplier statement reconciliation
- ◢Management reports: cashflow, WIP and profitability
[ Frequently Asked Questions ]
Construction Bookkeeping — your questions answered.
What software do you use for construction bookkeeping?
We work with Xero, QuickBooks and FreeAgent. We will recommend the best platform for your business size and complexity, set it up with construction-specific chart of accounts and job costing, and train you on the basics. If you already use a platform, we will work with what you have.
Can you track profit by job or project?
Yes. We set up job costing so that every invoice, material purchase, subcontractor payment and overhead is allocated to the correct project. You get a profit report per job showing revenue, materials, labour, subcontractor costs and margin — so you always know which jobs are making money and which are not.
How does CIS work in bookkeeping?
Every time you pay a subcontractor, we record the gross amount, the CIS deduction, and the net payment in your bookkeeping software. The CIS deducted is tracked as a tax payment that will be offset against your tax bill or reclaimed through self assessment. At month-end, the figures feed directly into your CIS300 return.
How much does construction bookkeeping cost?
Our monthly bookkeeping add-on starts from £100 per month, depending on the volume of transactions and the number of jobs you run. It can be added to any of our accounting packages. Book a free review and we will give you a fixed quote based on your actual transaction volume.
Do you handle the construction VAT reverse charge?
Yes. The domestic reverse charge for construction services means that subcontractors receiving payments from contractors account for VAT without the contractor actually charging it. We set up your VAT correctly so the reverse charge is applied where it should be, and we reconcile CIS and VAT on every subcontractor payment.
Ready to talk to a specialist?
Book a free financial site review and we'll review your CIS, tax and accounts — no obligation.