--- title: "Bill for retainage based on Application for Payment" slug: "bill-for-retainage-based-on-application-for-payment" updated: 2026-10-15T02:04:13Z published: 2026-10-15T02:04:13Z canonical: "help.servicetitan.com/bill-for-retainage-based-on-application-for-payment" --- > ## Documentation Index > Fetch the complete documentation index at: https://help.servicetitan.com/llms.txt > Use this file to discover all available pages before exploring further. # Bill for retainage based on Application for Payment ## Overview Progress Billing allows you to invoice for work and material and collect payment from customers during the course of a project. Retainage is a percentage of an invoice that is billed when a project or phase is complete. The percentage is optional and is determined when the contract is signed. --- ### #### Who uses this feature - Administrators, office employees, managers, accountants, and bookkeepers - Primarily for Residential Construction and Commercial Construction business types #### Feature configuration - Account configuration is required to use this feature. Please contact [Technical Support](http://go.servicetitan.com/ask) for details. ## Things to know - [Retainage must be set up](/v1/docs/set-up-retainage-based-on-application-for-payment) before creating an *Application for Payment*. - Retainage is invoiced when a *Description of Work* on the *Continuation Sheet* is 100% complete, unless otherwise specified in the customer contract. - *Applications for Payment* reflect deductions for retainage. - Final invoices include retainage charges that were deducted from previous invoices. - Retainage can be withheld for projects not using *Applications for Payment*. See [Create Retainage](/v1/docs/create-gl-account-for-retainage). - In Canada, retainage is the same as “holdback”. ## ## Bill for retainage based on Application for Payment The *Application for Payment* and the *Continuation Sheet* have the information needed to bill for retainage. You will need to complete those documents before you can invoice for retainage. To bill for retainage: 1. [Open the project](/v1/docs/use-search-in-servicetitan) you want to progressively bill for. 2. Open the *Application for Payment:* 1. If you have not already created an *Application for Payment,*see [Complete Application for Payment and Continuation Sheet](/v1/docs/complete-application-for-payment-and-continuation-sheet). 1. Select an existing **Application #** from the Project page. ![Table displaying payment applications, due dates, invoices, payments, and balances.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-3v3r4e4y.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) Or: 2. Create or open the *Application for Payment* and review the *Continuation Sheet* for accuracy. ![Continuation sheet showing work completed, scheduled values, and retainage details for projects.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-2f5l1jnj.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) 3. Select **Collect Retainage** in column K for the *Description of Work* items that are 100% complete that you want to bill for. ![Financial summary showing total completed, balance to finish, and retainage details.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-raqz7vn8.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) > [!NOTE] > **Note:** The entire Application for Payment does not need to be 100% complete to bill for retainage. Depending on your settings, the Description of Work row can be invoiced for retainage even when below 100% completion. For more, see [Set up to collect partial retainage](/v1/docs/set-up-retainage-based-on-application-for-payment#set-up-to-collect-partial-retainage). 4. Click **Next** on the bottom right of the *Continuation Sheet*. *Document Preview: Application for Payment* opens. You’ll see this heading and the detail shown below. ![Review application for payment in the construction business unit with document preview.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-c2i3gdxg.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) > [!NOTE] > **Note:** Columns A through I on the *Continuation Sheet* are visible to your customer. Retainage columns J and K are excluded. ![Payment application document detailing construction project costs and completed work summary.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-l5r0frpm.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) > [!NOTE] > **Note:** The retainage section in the *Application for Payment* is reduced by the amount of retainage billed. The amount that is billed is reflected in *Current Payment Due*. ![Payment application detailing retainage, completed work, and current payment due amounts.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-rqc461z8.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) 5. To print the documents, click **Print** in the upper right corner of the screen. ![Interface displaying a payment application review with print and email options.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-de588eg1.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) 6. To email the documents, click **Email**in the upper right corner of the screen. ![Review application for payment with options to print or send via email.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-k5ohsnep.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) The *Email Application for Payment* screen opens. 1. Add an email recipient by entering an email address in the *New email* address box or selecting an email address that appears. ![Email application form showing sender and recipient details for payment processing.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-8f5haicw.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) 2. Use the existing template or revise the body of the email. ![Email application for payment sent to Jamie Patter from ABC Construction.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-3bunsi1k.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) 3. When you’re done, click **Send** to attach a copy of the *Application for Payment* and *Continuation Sheet*to the email. 7. Once the Application for Payment and Continuation Sheet are approved, click **Finish and Generate Invoice** at the bottom of the *Preview* page. > [!TIP] > **Tip:** Do not generate, post, or export an invoice before the *Application for Payment* and *Continuation Sheet* are approved. This is recommended to help you avoid significant rework. ![Buttons for saving, closing, and generating an invoice on a digital interface.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-h66vp4d7.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) *Finish and Generate Invoice* opens. ![Prompt to finish generating an invoice or save progress in the application.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-c004cvzn.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) > [!TIP] > **Tip:** If the *Application for Payment* has not been approved, click **Save Progress**. Do not generate the invoice until the application is approved. 8. Click **Finish and Generate Invoice**. ![Prompt asking to save changes to an invoice before overwriting it.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-wppxnx93.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) > [!TIP] > **Tip:** If you updated the *Application for Payment* and click **Finish and Save Invoice** a confirmation pop-up opens. 9. Click **Finish and Save Invoice**. ![Invoice details showing payment terms, tasks, and amounts retained for work performed.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-47gmocyf.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) The *Invoice* screen opens. > [!NOTE] > **Note:** The invoice date defaults to the date you create the invoice. If you want to change the date, click **Update invoice details** and enter the new date in the **Invoice Date** field. - The warning at the top of the invoice lets you know that changes made to the invoice will not update the related *Application for Payment*. You will need to update the *Application for Payment*. - The retainage balance should match the retainage amount billed from the *Continuation Sheet*. ![Payment application document showing current payment due and total retainage amounts.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-izmxkl1b.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) - You can also see the invoice on the Project page. ![Invoice details showing pending status, total amount, and balance for various invoices.](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/bill-for-retainage-based-on-application-for-payment-image-av24vwza.png?sv=2026-02-06&spr=https&st=2026-10-17T11%3A32%3A34Z&se=2026-10-17T12%3A32%3A34Z&sr=c&sp=r&sig=m7kgEOtKwNFh7l1X2livHUR9uhFbqXZkb8%2F5LWLAiM8%3D) ## Want to learn more? - Visit the Academy and enroll in [Progress Billing with Application for Payment](https://servicetitan.docebosaas.com/academy/learn/courses/304/Progress-Billing-with-Application-for-Payment) - See [Set up retainage based on Application for Payment](/v1/docs/set-up-retainage-based-on-application-for-payment) Invoicing customers in stages as specific milestones of a large project are completed rather than in one lump sum at the end. **What it does:** Improves cash flow on large or multi-day roofing and commercial jobs by collecting partial payments throughout the project. **Also called:** Milestone billing, Staged invoicing **Tags:** Roofing / Exteriors [See the full glossary →](https://help.servicetitan.com/docs/glossary-overview)