A construction accountant is responsible for managing the financial aspects of construction projects, including budgeting, cost analysis, tracking expenses, reviewing invoices, and ensuring project profitability by monitoring costs against project budgets, while collaborating closely with project managers to provide financial insights and support decision-making throughout the construction process. 

 

Key responsibilities of a construction accountant:

Project budgeting:

Creating and maintaining detailed project budgets, including labor, materials, equipment, and overhead costs. 

Cost tracking:

Regularly monitoring project expenses against the budget, identifying variances and investigating causes for discrepancies. 

Invoice review and processing:

Verifying and approving vendor invoices for accuracy and compliance with project contracts. 

Financial reporting:

Preparing periodic financial reports for project managers and senior management, including project status updates, profit and loss statements, and cash flow analysis. 

Revenue recognition:

Applying appropriate accounting methods to recognize revenue based on project progress (e.g., percentage of completion). 

Job costing:

Allocating costs to individual projects accurately, including labor hours, materials used, and equipment rentals. 

Contract compliance:

Ensuring adherence to contract terms and conditions related to payments, retainage, and change orders. 

Internal controls:

Implementing and maintaining internal controls to safeguard company assets and prevent financial irregularities. 

Analysis and forecasting:

Providing financial insights and projections to support decision-making on project adjustments, cost-saving measures, and potential risks. 

Required skills and qualifications:

Bachelor's degree in Accounting or Finance Strong understanding of construction accounting principles and practices, including job costing and percentage of completion method Proficiency in construction industry software (e.g., project management systems, accounting software) Detail-oriented with excellent analytical and problem-solving skills Ability to collaborate effectively with project managers, subcontractors, and other stakeholders Strong communication skills to clearly explain financial information to non-financial personnel SAGE KnowledgeAIA G702 & G703