Work-in-Progress
Work-in-Progress (WIP) definition for contractors. Learn how to calculate under-billings and over-billings to understand your real cash position.
Calculation Formula
WIP Earnings = (Actual Costs / Total Est Costs) × Contract Price Real Contractor Example
You have a $100k project that's 50% cost-complete, but you've only billed $40k. Your WIP shows you are 'under-billed' by $10k.
Put This Into Practice
Knowing the definition is step one. RemodelFin tracks this in real time on every job — no spreadsheets.