Contracts and billing
Record advance payments and release retention
Record the advance the client pays under a contract, see how certificates recover it, and release the retention the client holds when the job is handed over.
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In this article
Two balances run alongside a contract's certificates. The advance the client paid up front is recovered a little from each certificate until nothing is left. The retention the client keeps back from each certificate is released at handover or final acceptance.
Record an advance received
Open the contract and its Advances and retention tab, then select Record advance.
Enter the date and Amount, and choose the Cash or bank account it was paid into.
Where VAT is charged on advances (as in Saudi Arabia), enter the VAT on the advance; otherwise leave it empty.
Optional: the Reference, such as the transfer number. Select Save.
The advance is posted to the advance received account of the project. Each certificate then recovers its share, in proportion or at the fixed percentage set on the contract, and never more than is left.
Release retention
On the same tab, select Release retention. The amount held is proposed.
Choose the Reason: provisional handover, final acceptance, end of defects liability or other.
Change the Amount for a partial release, and select Save.
The released retention is charged to the client again and collected like any customer balance. A release cannot exceed the retention held.
Common questions
Where do I see what is still to recover? On the contract page, Advance to recover, and across all contracts in Project Receivables.
Can retention be released before the last certificate? Yes, partly or in full, but never more than is held at that moment.