Construction bookkeeping is essential for keeping projects profitable and your business compliant. Payroll and subcontractor payments are two of the most important (and most error-prone) areas. If they’re not managed properly, it can lead to cash flow issues, incorrect job costs, and legal trouble. This guide explains how to manage both in a clear and simple way. Why Payroll and Subcontractor Payments Matter in Construction Bookkeeping Construction companies deal with: • multiple job sites • different pay rates by role • overtime rules • union requirements (in some cases) • subcontractors working across projects Because of this, payroll and contractor payments must be tracked by project, not just as general expenses. How to Set Up Payroll Correctly A proper payroll setup helps avoid mistakes and keeps job costing accurate. For accurate construction bookkeeping services, choose Meru Accounting today. Schedule a consultation for payroll, subcontractor payments, and job costing services.
