Retainage

Retainage % is set on the project (for example 10% or 5%). Each pay app holds that percent of everything completed and stored to date. That's line 5 of the G702.

• Current payment due = completed and stored to date − retainage − what was certified on earlier pay apps.
• If you change the retainage %, the next pay app recalculates retainage on everything billed so far. That can make its amount due smaller, or even negative.

Billing the retainage back: when the work is billed to 100%, create a new pay app and check Bill accumulated retainage on this application. It bills all the retainage held so far, with no work values to enter. Most contractors require a final lien waiver with it. Assign one on the project's Documents tab.