Project Job Costing – Accounting Methods

In our recent blog we have discussed about the various ‘Project Types’ we can set for project and the allowed range for ‘Accounting Methods’ that can be used for any particular Project Type.

New Stuff: New Release – To make the Text smaller in Sage 300C v2021 Cloud

Navigation for the setting,

Accounting method can be set for PJC Project screen, you can navigate to this screen as Project Job Costing à PJC Setup à Projects

PJC Projects

You can again set or change the accounting method for project while adding the same to ‘Contract Maintenance’ screen as Project and Job Costingà PJC Transactions à Contact Maintenance.

You can find the option for setting Accounting Method on the contract maintenance screen while adding new Project to the contract as shown in below screenshot:

PJC contract maintenance

The Project accounting method set on the master screen will be set as default while adding this project to ‘PJC Contract’. Also user can change the same for that particular contract based on project type selection.

Sage 300 provides 7 accounting methods that can be used to maintain the project account and cost associated.

  • Completed Project:
  • ·        This accounting method can be used if recognition of all revenue and create billings is to be done upon completion of the project.
  • This accounting method can be used with all project types.
  •  Total cost Project Complete:
    • This accounting method can be used when user want Project and Job Costing to calculate revenue automatically using the ratio of the total cost incurred to the total estimated cost of the project.
    • This accounting method can be used only with “Cost Plus” project type.
  • Labor Hours Percentage Complete:
    • ·        This accounting method will be used when there is requirement that Project and Job Costing to calculate revenue using the ratio of the total labour hours incurred to the total estimated labour hours of the project.
    • This accounting method is also can be used with Cost Plus type projects.
  • Billings and Costs:
  • ·       As the name suggests user can use this accounting method if you want to recognize revenue throughout the project based on the amount billed and the actual cost incurred to date on the project.
  • This accounting method can be used with all project types.
  • Project Percentage complete:
  • ·        This accounting method can be used when you want Project and Job Costing to calculate revenue throughout the project using the percentage complete for the project.
  • This accounting method can be used with the fixed price project type
  • Category Percentage Complete:
    • ·        You use this accounting method when you want Project and Job Costing to calculate revenue automatically using the ratio of the actual costs incurred for the project category to the estimated cost of the project category.
    • This accounting method can be used with the cost plus project type.
  • Accrual-Basis
    • ·        For this accounting method, transactions are posted directly to the revenue and cost of sales accounts. (You do not run the revenue recognition functions to clear amounts from the billings and work in progress accounts.)
    • This accounting method is also can be used with Cost Plus type projects.

Notes:

You can see on Contract Maintenance screen that Project type affects the accounting method selection.

About Us

Greytrix – a globally recognized and one of the oldest Sage Development Partner is a one-stop solution provider for Sage ERP and Sage CRM organizational needs. Being acknowledged and rewarded for multi-man years of experience, we bring complete end-to-end assistance for your technical consultations, product customizations, data migration, system integrations, third party add-on development and implementation competence.

Greytrix offers unique GUMU™ integrated solutions of  Sage 300 with Sage CRM, Salesforce.com, Dynamics 365 CRM and Magento eCommerce along with Sage 300 Migration from Sage 50 US, Sage 50 CA, Sage PRO, QuickBooks, Sage Business Vision and Sage Business Works. We also offer best-in-class Sage 300 customization and development services and integration services for applications such as POS | WMS | Payroll | Shipping System | Business Intelligence | eCommerce for Sage 300 ERP and for Sage 300c development services we offer, upgrades of older codes and screens to new web screens, latest integrations using sData and web services  to Sage business partners, end users and Sage PSG worldwide. Greytrix offers 20+ addons for Sage 300 to enhance productivity such as GreyMatrixDocument AttachmentDocument NumberingAuto-Bank ReconciliationPurchase Approval SystemThree way PO matchingBill of Lading and VAT for Middle East. The GUMU™ integration for Dynamics 365 CRM – Sage ERP is listed on Microsoft Appsource with easy implementation package.

For more details on Sage 300 and Sage 300c Services, please
contact us at accpac@greytrix.com,
We will like to hear from you.

The post Project Job Costing – Accounting Methods appeared first on Sage 300 ERP – Tips, Tricks and Components.

You May Also Like

About the Author: Optimize Our Inventory

Leave a Reply

Your email address will not be published. Required fields are marked *