Remodeling Business Accounting: Buildertrend vs CoConstruct vs QuickBooks for Job Costing
Most remodeling contractors don't realize they're losing money on a job until it's over — and by then, it's too late. Proper job costing software tells you in real time whether you're on budget, which trades are over-running, and exactly where your margin is going. This guide compares the top accounting and job costing platforms for residential remodelers in 2026 so you can choose the right system from day one.
READY TO TAKE ACTION?
Use the free LaunchAdvisor checklist to track every step in this guide.
The Quick Answer
For a new remodeling contractor doing 5–15 projects per year, start with QuickBooks Online Plus ($90/month) — it handles invoicing, expense tracking, and basic job costing at an accessible price point. Once you hit $500K in annual revenue or manage more than one active project simultaneously, upgrade to Buildertrend ($99–$399/month) for construction-specific features: purchase orders, draw schedule billing, subcontractor management, and a client communication portal. CoConstruct has been fully merged into Buildertrend, so it's no longer a separate platform as of 2024.
QuickBooks Online for Contractors: Strengths and Limitations
QuickBooks Online (QBO) is the most widely used accounting software for small businesses, and its Plus and Advanced plans include project-based profit and loss tracking that covers basic job costing. For each project, you can assign expenses (materials, subcontractor invoices, labor costs) and income (draw invoices, final payment) to a 'Project' and see real-time P&L by job. The Simple Start and Essentials plans lack this project tracking — use Plus ($90/month) or Advanced ($200/month). QBO limitations for remodelers: it doesn't manage purchase orders natively, doesn't have a draw schedule billing module, and has no built-in client portal or daily log function. However, QBO integrates with Buildertrend via a two-way sync, meaning many remodelers use both: Buildertrend for project management and job costing, QBO for formal accounting, payroll, and tax reporting.
Buildertrend: The Industry Standard for Remodeling Contractors
Buildertrend ($99/month Essential, $299/month Advanced, $399/month Complete) is purpose-built for residential construction and remodeling. Its job costing module tracks your budget against actual costs in real time, with purchase order management that links every material order to a specific job and budget line. The draw schedule billing feature allows you to create milestone-based invoices — 'draw 1: 25% upon demolition completion,' 'draw 2: 25% upon rough-in' — standard practice on remodeling projects. Subcontractor management lets you send bids, execute contracts, and track sub invoices all within the platform. The client portal gives homeowners a place to see project photos, daily logs, and schedules — reducing the 'how's it going?' phone calls dramatically. Buildertrend's integration with QuickBooks Online means your job costs flow directly to your accounting books without double-entry. The main downside: the learning curve is steep, and you'll need 20–30 hours to set up your cost codes, templates, and workflows correctly.
Draw Schedule Billing: How Remodelers Get Paid
Draw schedule billing is the standard payment structure for remodeling projects over $15,000. A draw schedule ties your invoice milestones to construction progress, ensuring you're never working more than two to three weeks without a payment. A typical kitchen remodel draw schedule: 10–15% deposit upon contract signing, 25% upon demolition completion, 25% upon rough-in inspection, 25% upon cabinet and countertop installation, 10% upon punch list completion, and 5% upon final walkthrough approval. Never start work without a deposit — the industry standard is 10–25% of the contract value. Buildertrend's draw billing module automates this: when you mark a milestone complete, it generates and emails the invoice to the client. QuickBooks can handle draw billing but requires manual invoice creation for each milestone. Whichever platform you use, define your draw schedule in the contract before work begins.
Subcontractor Payment Tracking and 1099 Management
Subcontractors typically represent 30–60% of your job costs on a full kitchen or bath remodel (plumber, electrician, tile setter, painter). Tracking their invoices against your budget and ensuring they're paid correctly is critical for both cash flow and tax compliance. In Buildertrend, you can invite subs to submit invoices through the platform and approve them against open purchase orders. In QuickBooks, set up each sub as a vendor, code their invoices to the appropriate job, and use the 1099 tracking feature to automatically identify which subs need a 1099-NEC at year end (subs paid more than $600/year via check, cash, or bank transfer). Note: 1099s are not required for subs paid via credit card or PayPal; the card processor issues the 1099-K. Failing to issue 1099s correctly can result in IRS penalties of $60–$310 per form.
Setting Up Job Cost Codes for Accurate Tracking
Job cost codes are the categories you use to organize and track costs within each project — the foundation of accurate job costing. A standard cost code structure for residential remodeling: 100 Demo, 200 Framing/Structural, 300 Plumbing Rough, 400 Electrical Rough, 500 Insulation/Drywall, 600 Tile, 700 Flooring, 800 Cabinetry, 900 Countertops, 1000 Paint, 1100 Trim/Millwork, 1200 Fixtures/Hardware, 1300 Project Management, 1400 Permits/Inspections. Set up these codes in your software before your first project and code every expense consistently. After three to five projects, you'll have real data on your average cost per trade per project type — invaluable for estimating future jobs. Most experienced remodelers can tell you within 5% what a tile shower costs them to build, because they've tracked their actuals for years.
RECOMMENDED TOOLS
Buildertrend
The leading construction management and job costing platform for residential remodelers. Draw schedule billing, purchase orders, client portal, and QuickBooks integration.
QuickBooks Online
Start with QBO Plus ($90/month) for job-level P&L tracking, subcontractor invoice management, and 1099 tracking. Integrates with Buildertrend.
Gusto
Payroll processing and contractor payment management. Handle W-2 employees and 1099 subcontractors, with automatic tax filings. Integrates with QuickBooks.
Some links above are affiliate links. We may earn a commission if you sign up — at no extra cost to you.
FREQUENTLY ASKED QUESTIONS
What is job costing and why does it matter for remodeling contractors?
Job costing tracks the actual cost of labor, materials, and subcontractors for each specific project against your estimated budget. It tells you in real time whether a job is on track to hit your target margin or is running over budget. Without job costing, you can finish a $60,000 kitchen remodel and not know whether you made $8,000 or lost $5,000 until your accountant closes the books months later.
What is draw schedule billing in remodeling?
Draw schedule billing ties your payment invoices to construction milestones — for example, 25% due upon demo completion, 25% upon rough-in inspection, 25% upon cabinet installation. It ensures consistent cash flow throughout a long project and protects both contractor and homeowner by linking payments to verifiable progress. Define your draw schedule in the contract before work begins.
Do I need both Buildertrend and QuickBooks?
For most remodelers with more than $300K in annual revenue, yes. Buildertrend handles project management, purchase orders, draw billing, and job costing. QuickBooks handles formal accounting, bank reconciliation, payroll, and tax reporting. The two-way Buildertrend-QuickBooks integration syncs job costs to your accounting books automatically, eliminating double-entry.
Apply This in Your Checklist