There are numerous types of IRS Form 1099. This article will focus on the 1099-NEC because it is the most commonly used form in the construction industry. While many aspects remain the same when using the IRS Form 1099-NEC, a change will affect reporting for the 2026 tax year. It is essential to note that for the 2025 tax year, construction businesses must still issue Form 1099-NEC under the old reporting standards, which is due by February 2, 2026.   Here are a few things th

Putting Strategy in Its Place The strategy involved in planning begins with an understanding of how to reach goals.  The goal  is the main “big thing” you want to accomplish.  A strategy  is the path you take to achieve a goal.  Built into your strategy will be objectives .  The tactics  you use to reach each objective are the tools that make it happen. Example: Planned Weight Loss Think of it this way. Say your goal is to lose weight. Goal:  Lose 20 pounds in 4 months Strate

What you’ll find in this article is a schedule of bookkeeping tasks that successful construction contractors use to guide the financial management of their businesses. That doesn’t mean they drag out the spreadsheets and fill in the blanks at the end of the day. It does mean they have a fundamental understanding of what their accounting team is responsible for and what “next steps” must be taken. However, before we delve into the schedule, let’s take a moment to understand th

We asked Brian Harding, a leading authority on developing high-performing teams, to share with our construction contracting clients and other readers about planning for proactive problem-solving year-round. He offers excellent advice that may come as a surprise. Here is what he had to say.   It’s that time of year! With the holidays also comes the time when we plan for next year. Before going too far down the planning path, I think it’s worth asking, “Why do we typically make

In a few recent posts (listed below), information was presented to help construction contractors understand how implementing the right systems in their financial dealings allows them to take control and steer toward building a debt and risk-resilient construction business.   The Hidden Cost of Debt in Subcontracting (Understanding actual job costs up front reduces the need to borrow just to stay afloat.)   Budgeting as a Financial Risk Management Tool (A proactive budget le

Just as you take time to address risks on the jobsite, you must take time to address risk from a financial perspective. Learn why the...

Debt Feels Like an Easy Solution – But It’s Not! Got a cut on your hand? Clean it up, put on a bandage, and go about your day. But...

Site Preparation for Construction Project Estimates Project estimate  – a detailed prediction of the total cost to complete a...

Figuring out what an employee costs means paying attention to all the price tags accompanying his or her base wage or salary. Those tags...

Understanding What Choosing a CPA Means Yes, you WANT someone who can prepare tax reports for your construction business (and many people...

The following information is based strictly on the Percentage of Completion type of WIP Reporting, which we suggest as the best practice...

WIP Reports -- A Powerful Tool in Your Financial Toolkit The question we answered in an article titled Is a WIP Report Worth the Effort?...

The first (introductory) article of this four-part series concerning building an excellent bid package titled Knowing What to Bid on a...

So, a construction project has gone out for bid, and you’re interested in getting in on the action, but you’re unsure how to know your...

The first part of this four-part series laid the foundation concerning cash flow . The second part discussed essential components of cash...

Are your accounting records haphazard or outdated? It’s more than just a hassle—it’s a liability. At The Profit Constructors, we offer a...

Have you ever thought that the employees in your construction company have different or conflicting goals? Do you ever feel the left hand...

So, what is a sleek construction business? It is refined, polished, streamlined, smooth, visually appealing, functional, sustainable, and...

Even though some refer to their vehicle as their “wheels,” it would be at least a tad bit crazy to neglect putting tires on those wheels...

When we learned that today is International Jugglers Day, we knew it was time to introduce you to our Operations Coordinator, Jennifer...