What are cost codes and how to create them?

What Are Cost Codes and How to Create Them?

In Contractor Foreman, Cost Codes help you categorize and track costs within your estimates and projects. They can be used to compare budgeted costs with actual costs and connect financial data with QuickBooks.

Examples:

• 01010 – Site Preparation
• 04000 – Masonry
• 09300 – Tiling

A Cost Code consists of two parts:

1. Cost Code #: The numeric or alphanumeric identifier, such as 01010
2. Cost Code Name: The name or description of the work category, such as Site Preparation

Together, these make up a Cost Code.

How to Set Up Cost Codes

You can create Cost Codes manually or import them using the available import options.

1. Open Cost Code Settings

Go to Menu → Settings → Cost Codes.

2. Choose How to Add Cost Codes

On the Cost Codes page, use the Actions button to create Cost Codes manually.

The available options are:

1. + Parent Code (Division)
2. + Child Code (Major)

Option 1: Add Cost Codes Manually

Cost Codes can be organized using a Parent Code (Division) and Child Codes (Major).

• Add a Parent Code (Division)
• Click Actions → + Parent Code (Division).
• In the Add Parent (Division) Cost Code window, enter the Cost Code #.
• Enter the Cost Code Name.
• Click Save.

Example:

1. Cost Code #: 01000
2. Cost Code Name: General Requirements

Add a Child Code (Major)

After creating a Parent Code, you can add Child Codes under the appropriate division.

• Click Actions → + Child Code (Major).
• Select the appropriate Parent Cost Code.
• Enter the Cost Code #.
• Enter the Cost Code Name.
• Enter the Workers’ Comp Code, if applicable.
• Click Save.

Option 2: Import Cost Codes from CSI or NAHB

If you don’t want to create Cost Codes manually, you can use the available CSI or NAHB Cost Code database.

• Open Cost Code Settings.
• Use the available import option to select the CSI or NAHB database.
• Select the Cost Codes that apply to your projects.
• Complete the import.

Note: Verify the exact current button/menu wording and import workflow in the demo before publishing this section, since the old article’s screenshots and terminology may no longer match the current interface.

Option 3: Import Cost Codes Using a CSV File

You can also create custom Cost Codes in a CSV file and import them into Contractor Foreman.

• Download the View Import Template.
• Enter your Cost Codes in the CSV file.
• Make sure the information follows the required CSV format.
• Return to Cost Code Settings.
• Select Import from File.
• Upload the completed CSV file.

Tip: Before importing a large number of Cost Codes, review the CSV file to make sure the Cost Code numbers, names, and parent/child information are entered correctly.

Cost Code Settings

Contractor Foreman also allows you to customize how Cost Codes are displayed.

Under Cost Code Sort Order, you can choose to sort Cost Codes:

1. By Number
2. By Name

Under Cost Code Display Preferences, you can choose how Cost Codes appear in dropdown menus.