Labor and materials are an aspect of job costing. Job costing is a common aspect of accounting in the construction industry. It tracks where expenses are allocated. It further subdivides the cost of your product into two subcategories (material and labor). Material meaning what the product is made of. Labor meaning the cost to physically install it.
How do I enable the Labor and Materials feature?
Note: Once this feature has been enabled, it cannot be disabled.
How do I add a Product or Service with both Labor and Material Costs and Prices?
Product Variation was built to support one product so that it can have different/price and cost. For example to use the product shingles you can capture it by 1 shingle for a certain price, also by 1 box of shingles for a set price through selecting Add product variation.
How do I add a Labor and Materials Product or Service to an Estimate or Invoice?
Do Labor and Materials Products and Services Sync with QuickBooks Desktop and QuickBooks Online?
Labor and Material Products and Services will be synced into QuickBooks Online and QuickBooks Desktop as two items. One will be synced for material and one for labor. The products synced as a material with be denoted as "Item Name (M)", and the products synced as labor will be denoted as "Item Name (L)".
Where can I use Labor and Materials Products and Services?
Estimates, invoices, credit memos and work orders are able to show the breakdown of cost, price, and tax for labor and material items. However, material orders and budgets will only show the breakdown of the costs of products.
Unit of measure is restricted to a total of 5 characters (i,e. "Sqft.").
Classes another aspect of job costing are now supported with Quickbooks Desktop.