Distinguish work, billing and collection
A project list can show agreed fees, milestones completed, invoices issued and cash received. Those are related measures, but they are not interchangeable. We agree how unbilled work is tracked and which figures require accountant review before they enter the financial statements.
Subcontractor bills and reimbursable project costs need their own supporting references. A client may reject a charge without an approval or receipt even when the cost is legitimate. Keeping the evidence with the project gives the owner an earlier opportunity to resolve the issue.
Keep owner and business decisions visible
Owner withdrawals, capital contributions, debt payments and shared expenses should have clear classifications. The reporting package can distinguish operating contribution from cash used outside routine project delivery. Where a firm offers multiple types of service, its tax treatment must be assessed by service rather than inferred from the word consulting.
Illustrative Regina firm example
A Regina project adviser agrees a $36,000 assignment, invoices $24,000 and collects $18,000 by a review date. The file shows $6,000 of billed receivables and a separate $12,000 of fees not yet invoiced, subject to the contract milestones. Combining those as overdue debt would misstate the collection problem and distract from the next deliverable needed for billing.
Questions about this work
Can you track project budgets without a complex system?
Yes. A small, reconciled project schedule may be sufficient when references and responsibilities are consistent.
Is all professional advice treated the same for PST?
No. The actual service and related work matter. We keep descriptions and separate charges available for the appropriate assessment.
Put this into practice
Sources and current guidance
A practical next step
Bring the records you have.
We can identify missing information, agree on the scope and organize the next bookkeeping step.
Request a bookkeeping review