Actual Cost

Actual Cost (AC) definition for contractors. Learn why tracking every penny spent is the only way to measure true project profitability.

Calculation Formula

AC = Total Invoices Paid + Payroll Costs + Equipment Costs

Real Contractor Example

At the end of a framing milestone, you've spent $14,200 on lumber and $8,800 on labor. Your AC is $23,000.

Put This Into Practice

Knowing the definition is step one. RemodelFin tracks this in real time on every job — no spreadsheets.