CoreconLink for QuickBooks Desktop Integration

Transcription

1 CoreconLink for QuickBooks Desktop Integration

2 Available CoreconLink Options QuickBooks Pro, Premier, Enterprise (US, Canada, UK) QuickBooks Online (All Countries) Pro, Premier, Quantum (Canada) 9.X (US) Online (All Countries)

3 Why Corecon as a QuickBooks Addon? Job costing is a key aspect to project management and is one of the main reasons engineering and construction firms consider Corecon. Many of these firms are satisfied with their accounting software in terms of general accounting functions, but when it comes to handling project financials such as tracking Subcontracts, potential changes, approved COs and AIA Invoicing, these systems tend to fall short. Corecon s software suite will complement Intuit QuickBooks Desktop and eliminate workarounds using spreadsheets!

4 QuickBooks Estimating, CO, and PO Challenges Most estimators develop proposals or bids using Microsoft Excel. As a result, accounting staff have to re-enter these estimates manually into QuickBooks Desktop upon job award. In addition, how cost details are grouped within the proposal may or may not match Quickbooks Service Items. As a result, accounting staff often waste time on transposing this information to a proper QuickBooks Estimate so budgets can be tracked. Estimators receive many quotes for materials and subcontractor services during the bidding phase. This information is submitted to the estimator either verbally, via , or by fax. Since this pricing information may be in various files and formats, it creates challenges for accounting staff to issue POs in a timely manner. Since there is no concept of client contracts or subcontracts in QuickBooks, agreements have to be prepared outside of the accounting system usually in Microsoft Word. Again, this causes duplicate data entry and potential mistakes when documenting scope of work and pricing. Change orders added to QuickBooks Estimates may serve a purpose of updating job budgets but these contract amendments have to be prepared either in Microsoft Word or Excel so clients have an official document to sign. This is certainly the case for commercial projects that require changes in AIA format. Since construction projects have potential and not approved changes, these pending or rejected transactions have to be tracked in Microsoft Excel or some other system since QuickBooks does not offer this functionality.

5 Why Corecon for Estimating? Corecon s Estimating module includes the following features that are not possible with QuickBooks Estimates: Use up to a 4-tier Work Breakdown Structure (WBS) to group and sort estimate cost line items Line items have cost and proposal rates for Material (M), Labor (L), Equipment (E), Sub (S) and Other (O). Markups can be applied to line items, sections or the entire estimate (aka global markups). The latter can be shown at the bottom of the proposal as an individual line item(s) or distributed proportionally across the WBS. Document inclusions, exclusions and clarifications per WBS Division which helps define the scope of work Generate professional looking proposals with options to show line items, sections (WBS) and markups in various ways Integrated Request For Pricing (RFP) Packages with Estimates: Request and collect item pricing from vendors via RFP Packages. Vendors will be able to submit pricing online via Corecon s TeamLink Portal. Compare vendor pricing side by side and award lowest bidder per line item or package total Create and Track Multiple Estimates per Lead or Project (Example: Base Bid, Rev 1, Rev 2, Rev 3) Wizards to automate complex processes and eliminate duplicate data entry: Lead to Project Wizard: Creates awarded Project and moves Drawings, Specs, Estimates, RFP Packages, and Correspondence over Estimate to Contract Setup Wizard: Creates Job Cost Codes, Prime/Client Contract, and Budgets using Estimate data Estimate to Procurement Wizard: Creates POs and Subcontracts using Awarded Vendor information in Estimate RFP Packages

6 Client Contract Administration Contractors should never purchase materials or mobilize staff to the jobsite unless there is a signed contract! This is an important aspect to construction that most accounting systems do not take into account! Corecon s Comprehensive Contract Admin Features: Built-in Wizards to setup Job Cost Codes, Client/Prime Contract and Budgets using a Corecon Estimate or spreadsheet Manage Multiple Prime Contracts for an Individual Project (e.g. Design Contract, Construction Contract) Four Contract Types for Prime Contracts: Fixed Lump Sum Cost Plus with Guaranteed Maximum Price (GMP) Cost Plus without Guaranteed Maximum Price (GMP) Unit Price Track 4 Types of Budgets for each Job Cost Code Referenced in a Prime Contract: Cost Budgets: Material (M), Labor (L), Equipment (E), Sub (S), Other (O) Contract Amount (aka Schedule of Values, Bank Draws) Labor Hours Equipment Hours Comprehensive Change Management: AIA Change Proposal Request (CPR) AIA Change Orders (CO) AIA Invoicing with Retention/Holdback Tracking Pending, Approved and Not Approved Status Options for Prime Contracts, CPRs, COs and Prime Contract Invoices

7 Procurement Designed For Contractors Corecon s Procurement Features: Two Separate Procurement Processes for Suppliers and Subs: POs and Bills Subcontracts, AIA Sub Change Orders (SCO) and Sub Invoices Estimate to Procurement Wizards for quick setup of POs and Subcontracts Pending, Approved and Not Approved Status Options for ALL Procurement Features Optional Workflow Rules for designating Approvers based on Transaction Value Eliminate over-billing using Subcontracts Percent Complete Style Subcontract Invoicing with Retention/Holdback Tracking

8 CoreconLink Integration Overview

9 Project Financials: AP, AR & Time Tracking Project Financial Transactions: Bills Subcontract Invoices Employee Misc. Expenses Timecards Client/Prime Contract Invoices Sync Wizard: Run Daily Corecon v8 CoreconLink Check and Deposit Information: Checks written for vendors bills Client checks deposited Payment Data: Run Weekly or Monthly

10 Customer, Vendor and Employee Integration Customers: New Clients in Corecon that are referenced on the Prime Contract are exported to QuickBooks. Address, Phone & Fax Sync: Yes Vendors: Vendors can be imported/exported to either system. Address, Phone & Fax Sync: Yes Employees: Employees can be imported/exported to either system. Address, Phone & Sync: Yes

11 Customer and Job Integration Corecon Awarded Job Setup: Project #, Title Project Directory (e.g. Customer, Your Firm, Architect, Subs, Suppliers) Job Cost Codes Prime Contract (aka Client Contract) Budgets (e.g. Contract Amount, Cost, Hours) Intuit QuickBooks Desktop: Customer Job Customer = Client referenced on Corecon s Prime Contract Job # = Corecon s Project # - Prime #

12 Service Item Setup - Cost Codes The Golden Rule of Job Costing: Regardless of software being used, estimating, project management and accounting staff need to agree on a master cost code list! Industry Standard Codes To Consider: Commercial: CSI 95, CSI 2004, CSI 2016, Uniformat Residential: NAHB Note: NAHB Cost Codes shown as Service Items.

13 Service Item Setup Cost Codes (cont.) When exporting project financials from Corecon to QuickBooks Desktop, Job Cost Code references will be replaced with Service Items. Thus, it is recommended that these items (code and description) would match in both systems. Typically, Service Items would reference the same Expense/COGs and Income GL chart of accounts.

14 Service Item Setup - Unclassified Item The CoreconLink needs to have a "backup" item just in case a Corecon transaction references a cost code that is not in QuickBooks. This unclassified item (ex. CCUnc) would be used in those rare cases. Although Corecon could create Service Items dynamically, this is not advised since duplicate cost codes could be created if the number was slightly off from one project to another. Thus, having an unclassified item is a better approach in the long term to avoid duplicates. Typically, the unclassified item would reference the same Expense/COGs and Income GL chart of accounts as standard cost code service items. See previous slide as an example.

15 Service Item Setup - Retainage or Holdback This item is only applicable when Prime or Subcontract Retainage (aka Holdbacks) will be tracked in QuickBooks Desktop. GL Chart of Accounts: Retentions Payable Account Type: Non Tax Related Other Current Liability Applicable Transactions: Subcontract Invoices Retentions Receivable Account Type: Non Tax Related Other Current Asset Applicable Transactions: Prime Contract Invoices Note: Example retention transaction shown on next slide.

16 Exporting Transactions with or without Retainage Corecon Prime or Sub Invoice Example - 10% Retainage Item Description Invoice Gross Total Retainage Invoice Less Retainage Job Cost Code Concrete $50,000 $5,000 $45, Masonry $40,000 $4,000 $36, Subtotal $90,000 $9,000 $81,000 Same Invoice Exported To QuickBooks WITHOUT Retainage Shown (RECOMMENDED) Item Description Total Service Item Concrete $45, Masonry $36, Subtotal $81,000 Same Invoice Exported To QuickBooks WITH Retainage Shown Item Description Total Service Item Concrete $50, Masonry $40, Retention -$9,000 Retention Subtotal $81,000

17 CoreconLink Sync Preferences

18 CoreconLink Sync Preferences Address and Phone # Syncing: Customers, Vendors, and Employees Accounts Payable: Default Sales Tax Item (Applicable when AP Transactions have tax.) Default AP Account (ex. Accounts Payable) CC Job Cost Code / QB Service Item Link Options * Default AP Service Item (when no match) Class Link Options * Export Rules for Bill and Employee Misc. Expense Payment Types Memo format options for Bills, Sub Invoices, and Misc. Expenses Show Sub Invoice Retainage and Corresponding Item References Set Billable Status in QuickBooks (Yes, No) * Options shown on next slide Accounts Receivable: Default AR Account (ex. Accounts Receivable) CC Job Cost Code / QB Service Item Link Options * Default AR Service Item (when no match) Class Link Options * Memo format options for Prime Invoices Show Prime Invoice Retainage and Corresponding Item References Time Tracking: Export Timecards to QuickBooks (Yes, No) CC Payroll Item / QB Payroll Item Link Options CC Job Cost Code / QB Service Item Link Options * Default Time Tracking Service Item (when no match) Class Link Options * Set Billable Status in QuickBooks (Yes, No) Tax Codes: CC Tax Code / QB Tax Code Link Options

19 CoreconLink Sync Preferences (cont.) Job Cost Code Linking Options: Link all Corecon JCCs to single Service Item Link Service Items based on the Resource Type (M L E S O) * Link Service Items to a specific Project Classification Auto Link Service Item based on the Job Cost Code (exact match only) ** Auto Link Service Item based on the Job Cost Code Description (exact match only) Auto Link Service Item based on the Project Number (exact match only) Class Linking Options: Do not set Classis in QuickBooks Set Class based on Resource Type (M L E S O) Set Class based on Project Classifications Set Class based on Internal Job Cost Code Grouping * Applicable to AP Only ** Recommended Setting fro AP, AR, and Time Tracking

20 CoreconLink Sync Wizard Sync Wizard is typically run daily by an accounting administrator.

21 CoreconLink - Sync Wizard Steps 1. Sync Linked Customers and Vendors (Address, Phone, Fax Updates) 2. Sync Linked Employees (Address, Phone, Updates) 3. Export Approved Project Prime Contract (Creates Customer and Job) 4. Export New Vendors referenced on Approved Bills and Sub Invoices 5. Export Approved Bills and Sub Invoices 6. Export Approved Employee Misc. Expenses 7. Export Approved Prime Contract Invoices (aka Client Progress Invoices) 8. Export New Employees referenced on Approved Timecards 9. Export Approved Timecards

22 CoreconLink Example Sync Step Corecon provides accounting staff complete control on what should be exported and when this should be done!

23 CoreconLink Payments Check and Deposit information in QuickBooks can be exported back to Corecon via the Payment function. Typically, this is run weekly by an accounting administrator.

24 CoreconLink Global Import AutoLink The Import / AutoLink tool is very practical when setting up Corecon since all Active QuickBooks Vendors and Employees can be quickly imported into Corecon. Companies and employees that have been manually entered in Corecon can also be auto linked if the name matches.

25 CoreconLink Advanced Utilities There can be scenarios where customers, vendors, employees, and projects need to be manually linked such as in the case where names do not match in both systems. In addition, project transactions such as Bills, Sub Invoices, or Prime Invoices have to be marked as exported or unlinked so they can be exported again. The latter scenario would occur when there are substantial changes made to a particular transaction. Fortunately, Corecon offers these functions in the Advanced Utilities section which can save valuable time.