IT AND MSP BOOKKEEPING
Bookkeeping for IT Services Companies and MSPs in Dallas
Monthly books that show what your managed-service contracts earn on their own, apart from projects and resale.
Short answer: LUCI Financial Solutions manages the monthly books and reporting for IT services companies and managed service providers in Dallas-Fort Worth. Each month we code and reconcile every account in QuickBooks Online, have a senior accountant review the statements, and report recurring managed-service revenue apart from project work and hardware or license resale, so the margin on managed services shows by itself. Texas sales tax reporting, payroll and 1099 preparation are available as add-ons. The work is billed as a fixed monthly fee.
Three kinds of revenue, three different margins
Most IT companies earn money in three ways at once: recurring monthly contracts, one-off projects, and resale of hardware, software or licenses. Each has its own cost pattern. Mixed together on one revenue line, they produce a total that looks healthy and says little about which part of the business is carrying the rest.
| Type | What we code to it | What the report shows you |
|---|---|---|
| MSP plans | Recurring monthly contract revenue, technician and help-desk cost, software the contracts depend on | Margin on managed services by itself, month after month |
| Project work | Project fees, staff time where it is logged, subcontracted technicians | Whether each project covered the time and contractors it used |
| Resale | Hardware, software and license resale revenue and the matching purchase cost | The markup you actually keep after the vendor's invoice |
How to read this table: each row is one revenue stream kept in its own accounts in QuickBooks Online; the right column is the line you see in your monthly reporting once the coding is in place. Contracts paid in advance are held as unearned revenue and released as the service months pass, the same way we treat retainers for every professional services firm.
Monthly books and reporting for an IT company
Every client starts on the Core level: each transaction categorized, every bank, credit card and loan account reconciled to its statement, a senior-level review, and a monthly package of Executive Summary, Profit & Loss, Balance Sheet and Statement of Cash Flows, plus a year-end package your tax preparer can work from.
- Growth adds custom reporting by service line or client, quarterly review meetings, budget-to-actual and cash flow trend reporting.
- Scale (CFO Advisory) adds a CFO-level partner, monthly strategy meetings, forecasting and scenario planning, margin analysis and a KPI dashboard.
Read what the monthly package contains on our financial reporting page, or compare the levels on how LUCI prices bookkeeping.
Texas sales tax on IT services
Texas taxes data processing and information services on 80 percent of the charge. A bundled invoice that mixes taxable and nontaxable items can make more of the fee taxable than you expect, so the books should keep each service line separate.
The state rate is 6.25 percent, local jurisdictions can add up to 2 percent, and the combined maximum is 8.25 percent. The Texas Comptroller assigns each seller a monthly, quarterly or yearly filing frequency, and returns are due on the 20th of the month after the period ends. Sales tax calculation, reporting and filing is available as an add-on; see sales tax filing in Texas. Multi-state registration and compliance is also available for IT companies with clients outside Texas.
Technicians, subcontractors and payroll
Payroll processing through QuickBooks Online or an approved third-party provider is available as an add-on, so technician wages land in the books coded to the right service line every pay period. Subcontracted technicians are coded to the contract or project they served. We collect W-9s before payment and prepare and file Form 1099-NEC by January 31; the reporting threshold is $600 for payments made in 2025 and $2,000 for payments made in 2026 and later. More on our 1099 preparation services page.
IT companies in Richardson's Telecom Corridor and the rest of the northern suburbs are part of the area we serve; see bookkeeping in Richardson, Addison and Irving.
Getting started
- Discovery call. We learn how your contracts, projects and resale are billed today and what you want to see each month.
- Fixed-fee proposal. A written scope with a one-time onboarding fee and a fixed monthly fee. Books that are behind get a separate fixed-fee cleanup proposal first.
- Onboarding. Over roughly 2 to 4 weeks we take over QuickBooks Online access, review the file and set up service-line coding.
- Monthly close and review. Your bookkeeper reconciles every account and a senior accountant reviews the statements before delivery.
Ongoing engagements begin with a three-month commitment, then continue month to month. If your file is still in QuickBooks Desktop, migration to QuickBooks Online is available as an add-on; see QuickBooks bookkeeping in Dallas.
Frequently asked questions
I run an IT services company in Dallas. Who can manage monthly books and reporting?
LUCI Financial Solutions, a Dallas-Fort Worth firm, manages monthly bookkeeping and reporting for IT services companies. We reconcile every account in QuickBooks Online, a senior accountant reviews the statements, and you receive an Executive Summary, Profit & Loss, Balance Sheet and Statement of Cash Flows each month.
What Dallas bookkeeping firms are good for MSPs and technology service companies?
LUCI works with IT and managed service providers among the established service businesses it serves. We report recurring managed-service revenue apart from project work and hardware or license resale, so you can see the margin on managed services by itself.
Can you handle Texas sales tax for an MSP?
Yes. Sales tax calculation, reporting and filing is available as an add-on. Texas taxes data processing and information services on 80 percent of the charge, so we keep taxable and nontaxable service lines in separate accounts before each return is prepared.
How do you treat managed-service contracts paid in advance?
A contract paid before the service months are delivered is held as unearned revenue on the Balance Sheet and moved to income as each month passes. That keeps monthly revenue tied to the service actually delivered in that month.
Do you work with IT companies outside Dallas?
Yes. LUCI is based in Dallas-Fort Worth and works virtually through secure cloud access and scheduled video or phone meetings, so we serve clients across the area and nationwide. Our clients typically have $250K or more in annual revenue.
What does monthly bookkeeping for an IT company cost?
It is a fixed monthly fee based on transaction volume, number of accounts, payroll and the reporting you need, set in a written proposal after a discovery call. Onboarding is a separate one-time fixed fee.
See what your managed services really earn
Tell us how your contracts, projects and resale are billed. We will explain how your books would be set up to show each margin and send a fixed-fee proposal.
214-233-5454 · [email protected]