The following resources have been added to the Contracting Best Practices Resource Library. To access these new tools, visit the Best Practices Library.
3.1 Chart of Accounts - Where to Code Items - Where does the book keeping function code items and into what accounts. The spreadsheet details the suggested areas to code debits and credits. And certainly these can and need to be customized by a book keeping function.
3.2 Fully Departmentalizing through Overhead - This article details how to consider, step-by-step, the accounting aspect of allocating overhead into segments of a company.
4.2 Overhead Allocation Methods - Full Departmentalization - Utilize this article to define how your company may want to fully departmentalize overhead. We also introduce controllable income as part of overhead allocation to pay managers on income produced while and owner can still have personal expenses that apply which may negatively affect a managers idea of fairness in pay plans.