Final payment is where a job's paper catches up with it. The client is asked for the last draw, the retainage and any change orders not yet billed, and in return expects a finished punch list, final lien waivers from every sub and supplier, warranties and, on permitted work, the final inspection. Every loose end on the job becomes a reason to hold the check, which is why the contractor who documented change orders in week three collects in week thirty and the one who didn't negotiates.
A worked number
Adjusted contract $73,535. Collected through the finishes draw: $61,200. Final draw $6,800 plus retainage $3,060 plus two change orders never invoiced $2,475: $12,335 due. The client disputes one change order they never signed for $1,800. The contractor collects $10,535, three weeks late, and the job's margin drops from 29% to 26.5% on the last day.
The mistake it hides
Billing it late and softly. Final invoices sent weeks after completion, without the lien waivers attached and without the change order log, get paid last among the client's bills. Send it the day of substantial completion with everything attached, and state the retainage release terms from the contract on it.
In Obra
The project shows what's left to collect against the adjusted contract, so the final invoice is a number already on the page, with every change order dated and attached. The retainage and progress billing calculator shows the released amount.