Remodeling & interiors

Books and taxes for custom home builders.

A lot purchase, builder's risk insurance, a dozen subs on one house, and construction draws spread across a year or more. Gus sorts every dollar to the build it came from, an accountant checks every transaction, and you get one number a month.

Book a call What we handle
  • From $197 a month
  • An accountant on every transaction
  • Cancel whenever
NovemberExample month
$36,000
what you made

November came in at $36,000. The lot purchase for next year's Whitfield build closed this month, so it's booked as land, not a project expense.

  • Bank draw, Carrow buildConstruction draws
  • Client deposit, Whitfield buildDeposits
  • Lot purchase, WhitfieldLand and lots
  • Builder's risk premiumInsurance and bonding
  • Framing sub, Carrow buildSubcontractors
Money in$148,000
Money out$112,000
Set aside for taxes$10,800
An example month. Yours will have your numbers.

Why your books are different

Custom home builder books go wrong across an entire build, not one bill at a time.

A generalist sees a deposit and a bill. Your business buys land, insures a house that does not exist yet, coordinates a dozen or more trades across a year or longer, and gets paid through a bank's inspection schedule. When the books do not track a whole build correctly, one home's numbers get lost inside another's.

  1. 1

    A lot purchase looks like a huge loss the month it closes

    Buying the land for a future build is a large outlay with no matching draw yet, sometimes months before a shovel goes in the ground. Booked as a plain expense, it can wipe out a month that was otherwise solid.

    What we doBooks land as its own asset tied to the build, not a monthly expense, so a lot purchase does not read as a loss.
  2. 2

    Builder's risk insurance gets lumped in with general liability

    The policy that covers a house under construction is a real cost per build, but if it lands in the same bucket as your year-round liability insurance, you cannot see what insuring each specific home actually costs you.

    What we doKeeps builder's risk premiums tied to the build they cover, separate from your general liability policy.
  3. 3

    A dozen subs on one house blur into a single number

    Excavation, foundation, framing, roofing, plumbing, electrical, HVAC, drywall, and finish trades can all get paid within the same few weeks on an active build, and if they land in one generic bucket you cannot see which stage is running over budget.

    What we doSplits subcontractor costs by trade and by stage, so you can see exactly where a build's money is going.
  4. 4

    Bank draws lag what you already paid out

    A construction loan releases money after the bank's inspector signs off on a stage, which is often weeks after you paid the subs and suppliers for that same stage. A month can look thin right when the build is actually on track.

    What we doTies each draw to the stage it was released for, so a timing gap between paying subs and the bank's release does not read as a loss.
  5. 5

    A build spans more than one tax year

    A custom home from groundbreaking to final walkthrough often runs longer than a calendar year, and if the books do not track it as one ongoing project, income and costs can land in the wrong year entirely.

    What we doKeeps a running total on each build so income and costs land in the year they belong to, with the accountant weighing in on anything that crosses December 31.

Your categories

The categories Gus keeps for a custom home building business.

Set up once for how your builds get paid and what they cost. You never pick a category. He does, and an accountant checks it.

Money in

  • DepositsCollected at contract signing, before construction draws begin.
  • Construction drawsBank-inspected disbursements released at each build stage.
  • Change order billingUpgrades and scope added mid-build, billed on top of the original contract.
  • Final payment and retainageThe balance and any held-back percentage, released at closing or walkthrough.

Money out

  • Land and lotsPurchase cost of the ground a home is built on, tracked as its own asset.
  • Insurance and bondingBuilder's risk premiums per build, plus general liability and bonding.
  • SubcontractorsEvery trade from excavation to finish carpentry, split by stage.
  • Framing and structural materialsLumber, trusses, and structural materials for the build.
  • Permit and impact feesPaid to the local building department and utilities for a new home.
  • Equipment rentalExcavation, lifts, and scaffolding rented for the build.

What we watch for you

  • Build margin

    What each home actually cleared after land, subs, and materials, not just the contract price.

  • Draw versus cost timing

    Whether bank draws are keeping pace with what you have already paid out on a build.

  • Sub cost by stage

    Whether foundation, framing, or finish trades are where a build's budget is actually going.

  • Land carrying cost

    What a lot is costing you to hold before construction draws start covering expenses.

Ask Gus

Things custom home builders ask Gus.

Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.

I just closed on the Whitfield lot. It's a big number leaving the account. Does that wreck this month's books?

No, I booked it as land tied to that build, not a monthly cost, so it will not make this month look like a loss.

The Carrow build's bank draw hasn't landed yet, but I already paid the framing crew. Why does this month look thin?

I tied that framing cost to the Carrow build's stage, so once the draw lands you will see the full picture, not just this month's timing gap.

Do I owe my framing crew a 1099 this year?

If you paid them $2,000 or more this year and they are not on payroll, yes, by January 31. I have been keeping that list all year so it is ready.

The tax side

The tax side of a custom home building business.

Most of what trips up this business is timing across a long build: land booked wrong, a draw that lags a cost, and a build that spans two tax years.

What your return has to get right

Your accountant signs it, so it gets done right the first time.

  • Subcontractor 1099sAnyone not on payroll who you paid $2,000 or more in 2026, like a framing or foundation sub, gets a 1099-NEC by January 31. Gus keeps the list as the year goes.
  • Employee or subcontractorA crew lead who works your schedule and takes direction only from you usually looks like an employee, not a sub, no matter what the invoice says. Getting this wrong gets expensive, so Gus flags it before it becomes a habit.
  • Builds that cross a tax yearA home that starts in one year and closes in the next needs its income and costs sorted into the right year. Gus keeps the running numbers, and the accountant decides how a straddling build gets reported.
  • The pass-through deductionMost owner-operators can take up to 20 percent of business profit off their taxable income. It comes out right only when the books track land, draws, and each build correctly all year.

Deductions custom home builders miss

Your bookkeeper knows what to look for in your statements. You never have to.

  • Builder's risk insurance premiums
  • Excavation and lift rental
  • Truck fuel and repairs
  • Bonding costs
  • Liability insurance
  • Dumpster and disposal fees
  • Tool and equipment replacement
  • Continuing education and certifications
  • Branded uniforms
  • Phone and tablet for jobsite use
  • Mileage between build sites
  • Job trailer or site office rental

General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.

All year, not just April

A custom home building year, kept every month.

A build can run well past a calendar year. Gus keeps taxes on their own schedule while the house gets built. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.

  1. January

    Plan the year

    Last year's return gets started, the subcontractor 1099 list is ready, and you get a monthly set-aside so April is already handled.

  2. April

    Filed. Done.

    Your return is filed and signed. No surprise bill, since the set-aside has been running since January.

  3. July

    Halfway check

    Where you stand, what you will owe, and whether a build that spans the year end is being tracked the right way.

  4. October

    Before year-end

    Gus looks at whether equipment or a lot purchase before December makes sense, and how any straddling builds are shaping up.

What you get

Starts at$197a month

What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.

Book a call
  • Monthly bookkeeping

    Every transaction sorted into categories set up for custom home builders. You never categorize a thing.

  • An accountant checks every transaction

    Real review, every month, before your books close. Not a spot check.

  • Your business tax return, filed

    Prepared, reviewed, and signed by that same accountant every year.

  • The monthly number

    What you made, what you spent, what to set aside for taxes.

  • Your own bookkeeper

    A real person assigned to your business, in the app whenever you need them. No hold music.

  • On your books all year

    Every month, not just in April. Your team speaks up whenever something is worth your attention.

  • Cancel any time

    No contract. No cancellation call. Your books are yours.

Straight answers

Questions custom home builders ask first.

How does Gus handle a lot purchase for a future build?

He books it as land tied to that build, not as a monthly expense, so a large lot purchase does not make an unrelated month look like a loss.

My build started last fall and won't close until next summer. How does that get handled?

Gus keeps a running total on the build so income and costs land in the year they belong to. The accountant weighs in on how anything crossing December 31 should be reported.

Do I need to separate builder's risk insurance from my general liability policy?

It helps a lot. Gus keeps builder's risk tied to the build it covers, so you can see what insuring each home actually costs you.

I have a dozen subs on one house. Can Gus keep them straight?

Yes. He splits subcontractor costs by trade and by stage, so you can see exactly where a build's budget is going instead of one blended number.

Do I write off excavation or lift rental?

Rental equipment is usually a direct cost of the build it was rented for, and Gus keeps it tied there. Equipment you buy outright is a separate conversation the accountant can walk through with you.

My books are behind because I've been focused on the build. Is that a problem?

No. Send the bank statements you have. Gus sorts them, the accountant checks them, and most owners know where they stand within a week.

Is a real accountant checking my books?

Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.

What does it cost, and can I cancel?

It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.

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What makes a bookkeeper worth paying for Every business we keep books for

Book a call

Pick a time. That's the whole signup.

Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.

  • $197 a month to start
  • An accountant on every transaction
  • Cancel whenever