A retainage payment can provide an extra layer of security when you’re a contractor and when you’re hiring contractors, ensuring that the job is completed to the standard that was set when the job was booked. When a retainage payment and period are determined, a portion of the total payment can be withheld either from you or the customer/contractor by your business until the retainage period has expired. This can ensure that any defects that may arise after the job is complete can be addressed.
Because this is money that your business is owed, it's important to know when these payments are due. And because standard retainage periods are usually due 12 months after the project is completed, they can be easy to forget about!
Never miss a retainage payment
simPRO takes the guesswork out of keeping track of retainage payments as it allows you to record retainage that is being withheld by your customers for your completed work, as well as recording your liability for money that you may have held back from contractors you have hired.
When the defined retainage period expires, simPRO alerts you via the system menu and easily allows you to create a retainage claim to receive the remaining monies due. This improves cash flow within your business and increases your chance of getting paid on time.
An enhancement to retainage due dates
In our latest update to simPRO we have enhanced the way retainage due dates are calculated.
Since recently adding in the Job Completion Date field to Jobs in simPRO, retainage due dates are now set based on this completion date instead of the final invoice date.
This ensures that the retainage payments you have set up in simPRO reflect the correct period of time, and the due dates are accurate.
All retainage dates in your simPRO build will reflect this change
It is important to note that this will be applied to all unclaimed retainage invoices in your simPRO build, including those that have already been created.