# QuickBooks and Bookkeeping for Roofers

Bookkeeping for roofers means tracking money per roof, not just per month: the deposit, material order, dumpster, permit, crew or sub labor, and every payment, including insurance checks that arrive in pieces. QuickBooks handles the ledger well. The hard part is getting job data into it accurately and on time.

## Key takeaways

- Set up QuickBooks so each reroof is a job (project or customer:job) and every cost lands on it.
- Deposits are owed work until the job is done. Track them, don't just spend them.
- Collect a W-9 from every sub before the first payment. The 1099-NEC threshold is $2,000 for payments made after Dec. 31, 2025.
- Insurance jobs often pay in two or more checks. Invoice each stage so nothing is left uncollected.
- BRIX syncs customers, invoices and payments with QuickBooks and tracks 1099 subs. It doesn't file taxes or give tax advice.

## Why is roofing bookkeeping harder than it looks?

Roofing bookkeeping is hard because the money moves out before it moves in, and it moves in bursts. You order shingles, underlayment and flashing before the build, pay a crew or sub at the end of the week, and then wait on a final payment or an insurance check. Without job-level tracking, you can't tell which roofs made money and which ones you paid to install.

Add storm seasons, where you might start more jobs in a month than in the previous quarter, and the shoebox method breaks fast. Here's a setup that holds up.

## How should a roofer set up QuickBooks?

1. **Make every roof a job.** Use projects in QuickBooks Online (or customer:job in Desktop) so revenue and costs for each address sit together. See [how to do job costing in QuickBooks](https://www.brix.so/learn/how-to-do-job-costing-in-quickbooks) and [classes vs. projects](https://www.brix.so/learn/quickbooks-classes-vs-projects).
2. **Split income into roofing lines.** Replacement, repair, gutters, and insurance work if you want to see how claim jobs perform against cash jobs.
3. **Put materials in cost of goods sold.** Shingles, underlayment, drip edge, vents, dumpsters and permits belong on the job, not in general overhead. See [cost of goods sold](https://www.brix.so/learn/cost-of-goods-sold).
4. **Separate sub labor from W-2 labor.** One account for subcontractor payments, one for payroll. It makes 1099s and workers' comp audits much easier.
5. **Track deposits as a liability until earned.** If you use accrual accounting, a deposit for an unbuilt roof isn't income yet. See [accrual vs. cash accounting](https://www.brix.so/learn/accrual-vs-cash-accounting) and ask your accountant which method fits you.

A clean [chart of accounts](https://www.brix.so/learn/chart-of-accounts) built for contractors gets you most of the way. The rest is discipline: every receipt, every check, attached to the right job, every week.

## Job costing a reroof

> **Illustrative job cost: one asphalt reroof**
>
> Contract price: $15,500. Materials: $5,400. Crew labor (sub): $3,600. Dumpster and disposal: $650. Permit: $250. Total direct cost: $9,900.
>
> Gross profit: $15,500 − $9,900 = $5,600, a 36% gross margin before overhead (trucks, insurance, office, marketing).
>
> Example numbers only. Your costs depend on region, roof type and crew structure.

If your gross margin swings wildly from roof to roof, look at material waste and labor overruns first. The [job costing calculator](https://www.brix.so/tools/job-costing-calculator) and [markup and margin calculator](https://www.brix.so/tools/markup-margin-calculator) help you price the next one, and [gross margin](https://www.brix.so/learn/gross-margin) explains the math.

## Insurance checks, supplements and depreciation

Insurance roofing creates bookkeeping wrinkles cash jobs don't have. The homeowner's first check may cover only part of the claim, with recoverable depreciation released after the work is finished. Supplements add line items after the original estimate. If you invoice once and hope, you'll leave money on the table.

- Invoice in stages that match how the money arrives: deposit, first insurance payment, supplement, final or depreciation release.
- Keep the claim number, estimate and supplement notes on the customer record so whoever chases payment knows what's owed.
- Watch open balances on finished jobs. An unpaid final on a $15,000 roof is a bigger problem than an unpaid $300 repair. See [accounts receivable](https://www.brix.so/learn/accounts-receivable) and [how to collect unpaid invoices](https://www.brix.so/learn/how-to-collect-unpaid-invoices).
- If a final payment never comes, know your lien rights and deadlines before they expire. See [mechanic's lien](https://www.brix.so/learn/mechanics-lien).

## Roofing crews, subs and 1099s

Many roofing companies use sub crews for installs. That's legal and common, but it puts paperwork on you. Collect a W-9 before the first payment. For payments made after Dec. 31, 2025, the IRS requires a Form 1099-NEC when you pay a non-employee $2,000 or more in a year (it was $600 for 2025 payments). If a sub won't give you a taxpayer ID, the IRS backup withholding rate is 24%.

Whether someone is truly a subcontractor or an employee depends on how the work is controlled, not what you call them. See [W-2 vs. 1099](https://www.brix.so/learn/w2-vs-1099) and [workers' compensation](https://www.brix.so/learn/workers-compensation), and talk to a tax professional if you're unsure.

## Roofing taxes and deductions to know

Roofers deal with the same tax basics as other contractors, with a few that hit harder: big equipment and truck purchases, high mileage during storm season, and sales or use tax on materials that varies by state. Start with the [contractor tax deductions list](https://www.brix.so/learn/contractor-tax-deductions-list), [Section 179](https://www.brix.so/learn/section-179-deduction), [use tax for contractors](https://www.brix.so/learn/use-tax-for-contractors) and [quarterly estimated taxes](https://www.brix.so/learn/quarterly-estimated-taxes-for-contractors). Your state's rules on taxing materials vs. labor are covered on our [sales tax on labor vs. materials](https://www.brix.so/learn/sales-tax-on-labor-vs-materials) page.

## What BRIX automates for a roofer's books

**Roofing bookkeeping chores and what BRIX does**

| Chore | What BRIX does |
| --- | --- |
| Re-entering customers and invoices in QuickBooks | Syncs customers, invoices and payments with QuickBooks so the books match the jobs |
| Chasing deposits and final payments | Turns finished stages into invoices and politely chases unpaid ones |
| Categorizing expenses | Keeps expenses categorized as they come in |
| 1099 subs | Tracks payments to 1099 subcontractors through the year |
| Quarterly taxes | Reminds you of quarterly estimated tax dates |
| Crew hours | Clock-ins, job hours and payroll-ready timesheets |

_BRIX does not file taxes, act as your CPA or give tax advice._

The calls and estimates that create these invoices start on the [AI receptionist for roofers](https://www.brix.so/for/roofing/ai-receptionist) and [roofing sales](https://www.brix.so/for/roofing/sales) pages. Overview: [roofing CRM](https://www.brix.so/for/roofing).

BRIX syncs customers, invoices and payments with QuickBooks, chases unpaid roofing invoices, keeps expenses categorized, tracks 1099 subs and reminds you of quarterly estimated tax dates. It doesn't file taxes or give tax advice.

- [QuickBooks sync](https://www.brix.so/integrations/quickbooks): Syncs customers, invoices and payments with QuickBooks so the books match the jobs.
- [Invoicing and payments](https://www.brix.so/features/invoicing-payments): Turns finished jobs into invoices and politely chases unpaid ones until the money is in your account.
- [Bookkeeping and tax help](https://www.brix.so/features/bookkeeping-taxes): Keeps expenses categorized, tracks 1099 subcontractors and sales tax, and reminds you of quarterly estimated tax dates. BRIX does not file taxes or give tax advice.
- [Crew timesheets](https://www.brix.so/#use-cases): Clock-ins, job hours and payroll-ready timesheets.

## Frequently asked questions

### Is QuickBooks good for roofing companies?

Yes, QuickBooks is the most common accounting system for small contractors and handles job costing through projects or customer:job. Its weak spot is the front of the job: calls, estimates and follow-up. Pair it with a system that syncs customers, invoices and payments so you don't type everything twice.

### Do roofers need to send 1099s to sub crews?

Generally yes, if you pay an unincorporated sub for services in the course of your business above the IRS threshold: $2,000 for payments made after Dec. 31, 2025 ($600 for 2025 payments). Payments to most corporations are exempt. Collect a W-9 up front and confirm specifics with a tax professional.

### How should a roofer record a customer deposit?

Under accrual accounting, a deposit for work not yet done is usually a liability (customer deposits or unearned revenue) until the job is completed. Under cash accounting it's often recorded as income when received. Ask your accountant which method you use and set QuickBooks up to match.

### What's a good profit margin for a roofing company?

There's no single reliable industry figure we can cite, and margins vary by region, roof type and whether you use subs. Track gross margin on every job and compare like with like: repairs against repairs, reroofs against reroofs. The markup and margin calculator helps you price for the margin you want.

### What are common roofing tax deductions?

Common categories include materials, sub and crew labor, vehicles and mileage, equipment, insurance, licensing and marketing. Rules and limits change, so check the IRS guidance linked from our contractor tax deductions list and confirm with your tax preparer.

### Does BRIX replace my bookkeeper or CPA?

No. BRIX keeps the day-to-day data clean (invoices, payments, categorized expenses, 1099 tracking) so your bookkeeper or CPA spends less time cleaning up. It does not file taxes or give tax advice.

## Related

- [Roofing CRM and AI Back Office for Roofers Who Live on the Roof](https://www.brix.so/for/roofing)
- [Roofing Answering Service: An AI Receptionist That Books Inspections](https://www.brix.so/for/roofing/ai-receptionist)
- [Roofing Sales Automation: How to Close More Roofing Leads](https://www.brix.so/for/roofing/sales)
- [Bookkeeping for contractors that keeps your books tax-ready all year](https://www.brix.so/features/bookkeeping-taxes)
- [QuickBooks for contractors: the right version, real job costing and a sync that keeps the books matched to the jobs](https://www.brix.so/integrations/quickbooks)
- [How to Do Job Costing in QuickBooks Online](https://www.brix.so/learn/how-to-do-job-costing-in-quickbooks)
- [Do I Need to Send a 1099 to a Subcontractor?](https://www.brix.so/learn/1099-for-subcontractors)
- [Contractor Tax Deductions: The Complete List for 2026](https://www.brix.so/learn/contractor-tax-deductions-list)
- [Job Costing Calculator](https://www.brix.so/tools/job-costing-calculator)
- [Roofing Calculator](https://www.brix.so/tools/roofing-calculator)

## Sources

- [IRS — Form 1099-NEC and independent contractors FAQ ($600; $2,000 for payments made after Dec. 31, 2025)](https://www.irs.gov/faqs/small-business-self-employed-other-business/form-1099-nec-independent-contractors/form-1099-nec-independent-contractors) (checked 2026-10-12)
- [IRS — Instructions for the Requester of Form W-9 (backup withholding rate 24%)](https://www.irs.gov/instructions/iw9) (checked 2026-10-12)

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Written by BRIX Editorial Team. Last updated 2026-10-12. General information, not tax, legal or financial advice.
Canonical: https://www.brix.so/for/roofing/bookkeeping