Introduction

Construction costs can be hard to track sometimes. Fortunately, there are some ways you can make the process easier and more accurate. The first step is to review the plans and materials for the project so you know what to expect. You’ll also want to manage change orders and track labor costs so you don’t miss anything when it comes time for payment. Lastly, consider the full project cost instead of just sticking with your initial estimate—it could save both time and money!

Review plans and materials

Before you break ground on your project, it's important to review the plans with your contractor. This can help make sure that the materials are there and of course avoid any surprises during construction.

If you've ordered materials yourself, make sure they're in good shape before getting started on anything. As an example, if you're doing some landscaping work around your property and need to buy plants for the garden bed: check their condition thoroughly before buying them. If there are dead leaves or dried out roots that will impede growth once planted, find another source of plants instead! It's easy enough to pass up a few extra dollars now for better results later on down the line when planting season comes around again next year."

Manage change orders

Change orders are a form of change request. Change requests are used to modify the scope of work in a project and can be used to add or remove scope items, change their timing, and more.

Change orders can be created at any time during your project lifecycle, but they're particularly useful when it comes to managing cost overruns. If you have an item on your bill that's going over budget and you want to adjust its price either up or down, this is how you do it!

Track labor costs.

• According to the Project Management Institute, “Project costs are all expenses incurred by a project that are not normally incurred in the normal course of business. These expenses include such things as direct labor, materials and supplies, subcontract expenses and indirect costs."
• Track labor costs by employee. Make sure to include overtime and other bonuses. Include any other costs you are paying for labor, like travel costs or equipment rental.

Consider the full project cost.

• Consider the full project cost. It's important to consider all costs associated with your project, from materials and labor to overhead and permits. Here are some of the areas you should consider:
• Materials. The cost of materials will vary depending on what type of project you're working on, but it is important to include this number in your budget so that you can accurately estimate how much money you'll spend on each phase of the construction process (e.g., demolition/removal, framing, electrical wiring).
• Labor costs. Similarly, labor costs should also be included in your budget—this includes both contractors and subcontractors who will help complete all phases of your home's construction process (e.g., plumbers who install new pipes, electricians who wire rooms for electricity).
• Additional expenses such as permits and inspections.*

Get help.

• Hire a professional to help you track your project costs. This is the best option for anyone who needs to keep close tabs on their project's expenditures, but doesn't want to get bogged down in the details themselves. A project manager will know how to use the right tools and have experience with specific software that can help your team save time and money.
• Use an online tool like Basecamp or Smartsheet if you're working mostly with contractors or other professionals who are already familiar with its features. These types of programs allow users to create custom templates for common tasks so that team members don't spend unnecessary time re-entering data from one form into another when they submit it again later on down the line (or worse yet, asking each other). They also make collaborating easier by allowing multiple people access via different devices simultaneously without having any sort of complex setup beforehand—just log in!

Tracking construction costs can save you time and money so you don't miss anything.

Tracking construction costs can save you time and money so you don't miss anything.

The first step to tracking your construction costs is to get organized. You need to have the following information:

• The total cost of your project (including materials and labor)
• Costs for each phase of your project, such as design, permitting, and construction (also called phases 1-4)

Once you have this information, it's time to start tracking where all that money has gone.

Conclusion

If you're planning a big project, it's crucial to keep track of costs. The best way to do this is by using a software program like QuickBooks. This will keep all your information organized and easy to access. With QuickBooks, you can even set up reminders so that someone will contact you when something needs attention.