What it is
On a contractor’s audit, most of the revenue risk sits in the estimate of total cost on each open job. A small change in the estimate at completion moves the percent complete, and with it the revenue and profit recognized to date. This workbook puts every open job on one sheet so the change in estimate, the fade in gross profit and the loss jobs can be seen together.
You enter the contract value, the bid cost, the prior and current estimates, cost to date and billings. The workbook calculates percent complete on the cost-to-cost method, revenue earned, the billing position by job, the catch-up effect of the estimate change, and the provision for the remaining loss on any job expected to lose money.
When to use it
- At planning and year end, to select jobs for estimate testing and to explain gross profit by job.
- Each quarter, as the project managers’ estimates are updated and reviewed by the controller.
- When a bonding company or lender asks for support behind the work-in-process schedule.
What’s inside
- Jobs tab: 40 job rows with calculated percent complete, revenue earned, over and under billing and profit effect
- Fade flag against a decline threshold you set, and a loss job flag
- Remaining loss provision on jobs where the estimate exceeds the contract
- Summary tab with counts, totals and a tie of the billing position to the general ledger
Standard cited
This template follows ASC 606 / ASC 605-35. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
Does this replace the work-in-process schedule?
No. It sits beside it. The work-in-process schedule is the accounting record. This workbook analyzes the estimates behind it and shows where the estimate moved and what that did to profit already recognized.
How is the provision for a loss job calculated?
Revenue and cost are both recognized by percent complete, so the loss already in the books on a job is percent complete times the total expected loss. The workbook provides for the rest, which is the total expected loss times one minus percent complete. Replace the formula if your policy differs.
Where do change orders and claims go?
Contract value should include change orders with enforceable rights. Amounts still being negotiated are variable consideration and are included only to the extent it is probable that a significant reversal will not occur. Document each one separately.
Related templates
- Construction WIP Schedule (Over / Under Billings)
- Audit Program: Construction Contractor
- Construction Retainage and Surety Bonding Schedule
- Construction Change Order and Claims Log
Last updated 11/05/2026. All free templates.