Retainage and Progress Billing Calculator

Figure this period's progress payment from percent complete, subtract retainage and previous payments, and see what's held and still owed.

Use a negative number for deductive changes.

Type in either field — the other one follows.

The share of each payment the client holds back until the job is done.

What you've actually been paid so far, net of retainage.

Current payment due

$36,500.00

Contract sum to date $262,500.00
Total completed to date $105,000.00
Percent complete 40.0%
Retainage held $10,500.00
Total earned less retainage $94,500.00
Less previous payments $58,000.00
Balance to finish (incl. retainage) $157,500.00

Obra keeps the agreed price, cash collected, and what's left to collect current on every project — so the next draw is a number you already have.

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How it works

A progress payment pays you for the share of the job you've completed so far, minus what the client holds back and minus what they've already paid. The contract sum to date is the original contract plus every approved change order; the work completed to date is that sum times the percent complete (or the dollar value of finished work, if you track it that way).

earned = completed × (1 − retainage) · due = earned − previous payments

Retainage is the percentage of each payment the client keeps until the job is substantially complete — commonly 5% or 10% on commercial work, sometimes stepping down once the job passes the halfway mark. It's your money; it just arrives last. The balance to finish is what remains on the contract sum, including the retainage that will be released at the end.

If previous payments exceed what's been earned, the job has been overbilled — the tool says so instead of showing a negative payment. It happens when percent complete was optimistic on an earlier draw; the fix is an honest number this period, not a creative one.

Questions

01 What is retainage? +
A percentage of each progress payment the client withholds until the work is complete, as leverage to get punch lists done. Commonly 5–10%. It's released at or after substantial completion, on the terms in your contract.
02 How do I calculate retainage on a progress payment? +
Multiply the total work completed to date by the retainage percentage — that's the total held so far. What you're owed this period is completed work minus that retainage minus previous payments.
03 When is retainage released? +
When the contract says: usually at substantial completion or final acceptance, sometimes partly earlier. Many states cap retainage and set release deadlines on public work; read the contract and, on public jobs, the state's rules.
04 What if I was overpaid on the last draw? +
The tool flags it: previous payments larger than what's earned means this period's honest amount is zero and the difference carries forward. Bill accurately now rather than inflating percent complete to hide it.
Free download

Not ready for an app? Start with our free Excel template.

A ready-made spreadsheet to track costs and income per project — with categories and the totals already set up.

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