Forum Message

Supply of materials account

Hello Mark,

I've been using your trial download, & I think its a great accounting software,
just a quick query before purchasing a license:

I'm an electrical contractor, I invoice my customers for services, and in many cases I have to charge for labour & materials. in my invoice after description column, what account shall I select (or create) to enter materials bought for that job

many thanks
Osman Elsawahli


Posted by M Osman Elsawahli on Oct 5, 2010 11:43 AM BST

Hello Osman,

I'm glad to hear you like our software. On the invoice you should use 'Sales Income' for both labour and materials.

If you purchase materials for the job, you should also record a separate Money Paid Out transaction allocated to 'Cost of Goods Sold'.

Regards,


Posted by Mark McLaren (Solar Accounts) on Oct 5, 2010 12:19 PM BST