Although QuickBooks Desktop and QuickBooks Online have been developed by Intuit to solve the same purpose of simplifying accounting tasks, they have vastly different interfaces and functionalities with many overlapping capabilities as they cater to different sets of users. While QuickBooks Desktop continues to hold the edge, many businesses are opting for QuickBooks Online because it does not have to be installed on any device. This is particularly true for businesses in the construction industry and other project-based verticals due to the nature of their service. However, with hosted QuickBooks Desktop, this advantage is negated. Let us dissect the differences in job costing in QuickBooks Online vs QuickBooks for Construction and understand why you should continue to use the latter solution in a hosted environment.
Who Should Use QuickBooks Online for Job Costing? QuickBooks Online is the right accounting solution for contractors with relatively simple requirements. Some of the ideal users for the online solution are- • Specialty contractors or speculative builders who do not typically use cost code-based job-costing. • General contractors who have fewer jobs and payroll-related services can export data into journals in QuickBooks Online. • Contractors who have a limited budget but are willing to manage integrated applications.
Who Should Use QuickBooks Desktop for Contractors for Job Costing? The QuickBooks Desktop solution is the recommended solution in almost all scenarios, except when there are budget constraints and short-duration projects. • It is ideal for almost every type of contractor who needs an out-of-the-box solution for detailed job costing at the cost code level. • Contractors that have unions or wage payrolls that cannot outsource their accounting tasks. • If detailed reports in QuickBooks Desktop are sufficient, and additional project management applications are not required. • There is a requirement for creating multiple company files. While there are no additional charges for creating more company files in QuickBooks Desktop, it is not the case with QuickBooks Online.