AIA Billing
AIA Billing handles progress billing for construction contracts - the standard G702 (Application and Certificate for Payment) and G703 (Continuation Sheet) format used on larger construction jobs. You set up a Schedule of Values once, then bill against it each month as work is completed.
Open Accounting > AIA Billing. The header reads "AIA Billing - G702 / G703 progress billing for construction projects."
How AIA billing works
- Schedule of Values (SOV) - break the contract into line items with a scheduled value each. The total is your contract sum.
- Monthly draws - each period, record how much of each line was completed. Previously-billed amounts auto-populate from the last approved draw.
- Retainage - a configurable percentage (default 10%) is held back on each draw and released at substantial completion.
- Approval - approving a draw creates a customer invoice for the net billable amount and posts the general-ledger entry automatically. G702 and G703 PDFs generate on demand.
The AIA hub
The main page lists every project that has AIA billing set up, in a card titled "Projects with AIA billing":
| Column | Shows |
|---|---|
| Project | Project name (links to its AIA workspace) |
| Customer | Customer name |
| Contract sum | Total scheduled value |
| SOV lines | Number of Schedule of Values lines |
| Applications | Number of draws (with an open count) |
| Latest draw | The most recent application and its status |
If no project has AIA billing yet, open a construction project and choose Set up AIA billing to create its first Schedule of Values.
The project workspace
Click a project to open its workspace. The header reads "AIA Billing - Project #[id]" with a Back to hub link.
Build the Schedule of Values
- In the Schedule of Values card, click Add line for each item.
- Enter the line number, a Description (for example, Foundation, framing, electrical), and the Scheduled value.
- Click Save SOV. The contract sum is the sum of all line values.
Once an application exists that is not a draft (or voided/rejected), the Schedule of Values locks so the contract can't shift underneath billed work. To edit it again, void the open draft. A "Locked" badge shows when this happens.
Create a pay application (draw)
- Click New draw.
- Choose the Customer, set Period from and Period to, and confirm the Retainage rate (%) (default 10).
- Click Start application.
Enter completed work
In the application's line grid - the G703 continuation sheet - each line shows #, Description, Scheduled, Previous, This period, Stored, % complete, and Retainage.
- Enter the This period amount (work completed this period) and any Stored materials per line. They save automatically as you move off each field.
- Previous, % complete, and Retainage calculate for you.
- The summary tiles show This period + stored, Retainage held, and Net billable.
Submit and approve
- Click Submit for approval once at least some work or stored materials are entered.
- Approve the draw (optionally recording the architect's name). Approval creates the linked customer invoice for the net billable amount and posts the ledger entry.
- Use Reject or Void with a reason if a draw needs to be sent back or cancelled.
From an application's header, click G702 or G703 to generate the standard AIA PDFs - the certificate for payment and the continuation sheet - ready to submit to the owner or architect.
Once approved, the application links to its customer invoice (in Receivables) and its journal entry, so the paper trail stays connected end to end.
Related topics
- Job Costing - retainage, WIP, and construction reporting
- Receivables - the invoices AIA draws create
- Creating Invoices - standard (non-AIA) invoicing