A construction project: the job you are building, with its client, contract value, contract dates and the percentages the contract sets out.
When to use it
Once, when you win a job, before anything is raised against it. Everything on the construction screens is picked from this list.
Before you start
- The client must exist as a party in your Chart of Accounts.
- Decide the project's short code. Most of the rest can be filled in later.
- You need rights to create masters.
Where to find it
Masters > Construction > Projects.
The fields on this screen
| Field (on screen) | What to enter | Required |
|---|---|---|
| Project Code | Short code for the project. It is how the project is picked out on bills and every project report. | No |
| Project Name | Full name of the project, as it should read on bills and reports. | No |
| Is Project | Keep this ticked. Clear it and the record saves as a plain cost centre and drops off the project list. | No |
| Project Type | Whether this is Contract work for a client or your own Development. | No |
| Status | Where the project stands: Planned, Active, Suspended, Completed or Closed. | No |
| Client | The client this project is billed to. Bills raised on the project land in this party's account. | No |
| Contract Value | Total awarded value of the contract. Progress and billing on the project are measured against it. | No |
| Start Date (AD) | Date the contract runs from, in AD. Fill the BS start miti beside it with the same day. | No |
| Start Miti (BS) | Nepali (BS) date the contract runs from. Pick it from the calendar and keep it level with the AD date. | No |
| End Date (AD) | Date the contract is due to finish, in AD. Fill the BS end miti beside it with the same day. | No |
| End Miti (BS) | Nepali (BS) date the contract is due to finish. Keep it level with the AD end date. | No |
| Retention % | Share of each bill the client holds back, as agreed. Enter the actual retention on the bill itself. | No |
| Retention Release % | (not explained yet) | No |
| Mobilization Advance % | Mobilization advance agreed, as a share of the contract value. Enter the actual recovery on each bill. | No |
| Defect Liability (months) | Months you remain liable for defects after the contract ends. Recorded here as an agreed term. | No |
| Cost Centre Group | Groups this project with others of the same kind for reporting. | No |
How it works
- A project is a Cost Center, and that is the point. Every purchase, stock issue, asset, depreciation charge, payroll cost and journal that already carries a cost center feeds project cost, with nothing extra to set up. On a voucher you tag the project exactly as you would tag a branch or a department.
- Once saved, the project is offered on the construction screens. BOQ / Tender Schedule, Variation Order, RA Bill, Subcontract Award and Subcontract Bill all pick from projects only, never from ordinary cost centers.
- Status runs Planned, Active, Suspended, Completed and Closed. Project Type is Contract or Development.
- Retention %, Retention Release %, Mobilization Advance % and Defect Liability (months) record what the contract says. They are the agreed terms, kept here so anyone can read them, and they are not applied automatically. The figures actually deducted are entered as deduction rows on each RA Bill. A subcontractor's percentages are held on their own Subcontract Award.
- Project P&L, BOQ vs Actual, Retention Ageing, Material Issue Register and Subcontractor Statement all report by project.
Tips and common mistakes
- Leave Is Project ticked. If you untick it, the record becomes an ordinary cost center. It keeps its history but disappears from every construction screen.
- Use a project when the question is "what did this job cost". Use an ordinary Cost Center when the question is "what does this department spend".
- Give it a short code you will recognise. The code identifies the project across the construction reports.
- Do not delete a project that has vouchers against it. Set its Status to Closed instead.