Category: Contractors/sub-contractors

In the construction industry, supply-chain challenges are nothing new. They’ve just gotten much more media attention over the last few years. Increased globalization, a pandemic and geopolitical strife have all contributed to some notable slowdowns, though things have generally been better lately. One way that construction companies can mitigate supply-chain problems is to maintain their own inventories of various building materials, products and supplies. However, an inventory can also complicate tax planning. Here are three big issues to consider. 1…. Read more ›

They say hindsight is 20/20. You can take advantage of that hindsight by holding regular project closeout meetings to find nuggets of truth about how the project went and learn from them. Not every project makes money for your firm. You can find ways to improve project and accounting management if you set a tone of openness to genuine feedback that will filter down to your project managers and other key employees. Here are some guidelines for success in this… Read more ›

Here’s a tax break you might not have considered: Your business could be eligible for a tax credit for money you spend to meet the requirements of the Americans with Disabilities Act. The law requires companies with 15 or more employees to make reasonable accommodations in the workplace for disabled employees. (Reasonable accommodations must be made on a case-by-case basis and are not required when the cost would cause an undue hardship.) Eligible small businesses can claim a credit equal… Read more ›

Chances are, your construction business hires independent contractors, rather than employees, to perform some of the work. These arrangements obviously save your company a lot of time, money and headaches. Take a look at some of the recordkeeping and financial differences: With anEmployee: With an IndependentContractor: You must pay the employer’s half of FICA, as well as federal unemployment tax (FUTA). You generally don’t have to withhold taxes from the worker’s pay, you don’t owe the employer’s portion of FICA… Read more ›

Quick References are high-level insights about critical issues and concerns facing your organization. Our outsourced accounting and advisory group is available to help you implement solutions. Click here to view other Quick References and to sign up for email alerts when future Quick References are released. What is the new lease standard? The new lease standard is intended to account for all lease obligations on financial statements, rather than excluding operating leases as has been the standard. This change ensures… Read more ›

Internal fraud drains more than $4.7 trillion annually from global businesses, according to an estimate by the Association of Certified Fraud Examiners (ACFE). The median loss from internal fraud at companies in the construction industry is $203,000, according to ACFE’s latest Report to the Nations. Construction experiences the fourth largest median losses of any industry (the median loss for all businesses is $117,000). Although companies can experience pilferage from customers, vendors and other sources, employees account for the highest losses,… Read more ›

“I’ll do your family’s dental work for free if you build a deck onto my house.” If you’re in the construction industry, you’ve probably received an offer like this or made a similar offer to someone else in a different line of business. It’s a modern variation of the age-old practice of barter. What makes it especially intriguing in this day and age is the idea that you can exchange services or products with someone without exchanging money. Keep in… Read more ›

Location, location, location. You know how important it is for your business. So when choosing a location, you probably research foot traffic, car traffic and the occupancy rates of the neighboring buildings. But if you don’t research zoning laws, all your good business judgment could go to waste. Before you sign a lease or buy a commercial property, make sure you can legally house the business you want to run in that location. Otherwise, make sure your lease or contract… Read more ›

If you’re entering into a commercial lease as a landlord or as a tenant, make sure the space is in compliance with public accommodation laws. Otherwise, you could find yourself paying a fortune in structural and design changes. Fortunately, there are tax breaks available to businesses that make building alterations to comply with the federal Americans with Disabilities Act (ADA). The law requires that disabled people have equal, or similar, access provided to the general public if any of the… Read more ›

Let’s say you’re an electrical contractor. One of your employees bumps into an unoccupied scaffold on a construction site and destabilizes it. Which actions should you take to ensure the safety of workers and avoid liability? A. Move everyone out of the way when painters get on the scaffold. B. Fix the scaffold. C. Warn everyone who is at risk. D. Report the incident to the general contractor. If you answered C and D, you’re correct. Responsibility and liability on… Read more ›