How do I track Retainage on an Invoice?

To calculate and track retention for invoices, first, you need to set up the retention rate for the project. Navigate to the project from the main menu by selecting the “Projects” module and opening the respective project.

Once inside the project, go to the “Details” tab from the left-hand panel. In this tab, find the “Additional Details” area. Click the “View All” icon located in the top right corner to expand the section.

In the expanded view, locate the “Retention %” field. Here, enter the retention percentage that applies to your invoices. For instance, if your contract with the client specifies a 10% retainage, you should enter “10” in this field. From this point forward, the system will automatically apply a 10% deduction for retainage on all invoices associated with this project.

If you need to change the retention percentage at any point, simply update the value in the “Retention %” field. However, note that any changes will only apply to future invoices and will not affect previously created invoices.

After adding the retention rate of the project, when you create an invoice and add items to it, the retainage amount will be automatically calculated and displayed in the Items tab of the invoice. The system will show the deducted amount under your items as Retainage withheld, making it easy to track the retainage held on that particular invoice.

Also, you can track the total retainage withheld of the project so far by navigating to the details tab. There, in the additional details area, you will find the total retention held just below where you entered your retention rate.