What is construction accounting?

Construction projects include multiple vendors and contracts, with large amounts of money going in and out of a project. Construction accounting is a method of accounting to ensure all construction costs that were estimated and budgeted are tracked. A construction accountant must meet the qualifications for working with multiple payments, insurance needs, and indirect and direct costs involved. Construction accounting differs from regular accounting and requires specialized training to understand revenue and billing in this industry and for particular organizations or projects.