do you have a labour cost account in your billing accounts in special accounts?

utilities - system manager - special accounts - billing accounts

yes -the problem is...I want the invoice clearing and labour clearing to wash each other out....

so you want the cost separated from the materials cost and go to labour cost?

yes....and right now....the way it is set up...I have to do a J/E to clear the cost of the labour off the bottom line and I should not have to

you do realize that the labour cost is calculated in payroll if you use it?

therefore you should not attribute a cost in the inventory item however the sales department would be for your labour sales in the inventory item.

I think perhaps you are trying to do job costing in your order entry module to see what your profit for the job is.

all we are trying to do is have JUST the difference between the cost of the labour and what we charge for labour go onto our bottom line.......every month I have had to J/E out the cost in clearing accounts for labour and invoicing because it would ALSO tack on to the bottom line....

BV by default adjusts the inventory and material sales if you attribute a cost to the labour through the inventory item. unless you have no material sales and you would have to change the special accounts.

your income statement deducts the cost of the labour through your labour expense account which is recorded in your payroll. which gives you the bottom line. or if you don't use payroll you would have to manually do the journal entries.

so when you charge $100 per hour for a man payroll would deduct the actual time the employee worked.

so if the employee only did an actual 1 hour of work at a cost of $50 then the profit margin would show that as well as the other cost of deductions

our payroll person does everything manually through accounts payable so thus we have to manually post all the costs through a general journal entry and there is not anyway around it.

Thanks