What is the difference between Committed Cost and Actual Cost?

What is the difference between Committed Cost and Actual Cost?

Committed cost is when for example you have Approved a Purchase Order. You have not spent any money on it yet you have just "Committed" that money. Actual is when that Vendor sends you an Invoice on the PO and you "Actually Pay it. That is your Actual.

    • Related Articles

    • How are the Committed or Actual Labor costs generated on the Financial Tab for the Project?

      Committed cost is generated by Approving items such as Subcontracts, or Purchase Orders, adding Misc Expenses and Time. Actual cost is calculated when an Invoice comes in from say the Vendor or Subcontractor and it is paid using the "Bill" feature. ...

    • Job Costing Calculations Explained

      Accurate job costing is often the difference between making money and losing money.  Our job costing reports make it easy for you to stay on track of your budget, commitments, and actual expenditures so that at all times you know where things stand.  ...

    • How do I generate a report to see the Estimated and Actual cost?

      To generate a report to see the Estimated and Actual Cost, go to Menu and select Reports. Here, you can choose Select Budget VS Actual under Job costing Reports.

    • Using Cost Codes

      Using Cost Codes Cost codes are derived from the standard CSI codes (Construction standards Institute.) Due to the popularity of QuickBooks many people use the term Item Codes from QB. Basically, they are the same as CSI Codes but the numbering ...

    • Import Cost Codes

      Contractor Foreman comes with a basic list of cost codes to get you up and going but if you want to use your own, we make the process simple. Before importing a list of codes, consider these points. Do you want to keep the existing cost codes that ...