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 Overview

When a retention invoice is processed, the previously billed retention balance is transferred from the Retention Receivable account to the standard Accounts Receivable account, and a new invoice is created to reflect the full invoice amount. Retention amounts are cleared from all of the customers' invoices for the same job, and the remainder of the Job Cost retention total, if any, is recorded as the retention amount for the new retention invoice. Retention invoices are typically processed at the completion of the job to request the payment of the retention balance that has been accumulated for the job.

 

To enter retention invoices

1. Select Job Cost Job Billing menu > Job Billing Data Entry.

2. Enter a job number. For more information, see Job Billing Data Entry - Fields.

3. In the Invoice No. field, enter the seven-character invoice number, followed by "-RT." Click the Totals tab.

4. In the Amount Billable field, enter the billable amount.

5. Complete the remaining fields in the Job Billing Data Entry window; click Accept.

During the Job Billing Register update, a new invoice is created with the extension of -IN in the Accounts Receivable Open Invoice file.(Retention invoices do not affect the Work-in-Process or Job Revenue accounts during the Job Billing Register update.)

The retention amounts are cleared from all of the customers' invoices for the same job. If the retention amounts cleared from the invoices exceed the retention invoice amount, the remainder is recorded as the retention amount for the new invoice. The General Ledger Retention Receivable account is credited with the invoice amount, and the Accounts Receivable account is debited.