Progress Billing Calculator
Stop fighting with spreadsheets on the 25th of the month. Accurately calculate Net Earned, Retainage, and Current Due in seconds.
Progress Billing
AIA-Style Percentage-of-Completion Tool
Worked example: a $150,000 contract billed across four draws
One project, billed in sequence at 10% retainage. Each draw bills the work earned to date, withholds retainage, then subtracts everything already paid — which is why the amounts are not equal even when the percentage steps look regular.
| Draw | Earned to date | Retainage withheld | Previously paid | Due this draw |
|---|---|---|---|---|
| Draw 1 — 25% complete | $37,500 | $3,750 | $0 | $33,750 |
| Draw 2 — 45% complete | $67,500 | $6,750 | $33,750 | $27,000 |
| Draw 3 — 75% complete | $112,500 | $11,250 | $60,750 | $40,500 |
| Draw 4 — 100% complete | $150,000 | $15,000 | $101,250 | $33,750 |
Retainage is held at 10% throughout; many contracts reduce or release it at substantial completion, which is billed separately from the draws shown here. Check your contract and your state's retainage statute.
What is Progress Billing?
Progress billing (or percentage-of-completion billing) is an invoicing method where a contractor bills for the portion of the project that has been completed to date.
This keeps cash flow healthy and ensures you aren't funding the materials and labor for the entire project out of your own pocket.
Handling Retainage
Retainage is a portion of the payment (typically 5-10%) that the owner withholds until the project is final. Our calculator automatically subtracts retainage from your earned amount to give you the "Net Due" for the current period.
"Tip: Never invoice for 100% of a milestone until the inspection has passed. This avoids 'Over-billing' flags from lenders."
Stop losing money to uncaught cost overruns.
Track labor burden, collect mobile change order signatures, and see your live profit margin on every job — starting today.
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