Prev % is the share finished on earlier applications. Stored ($) is material delivered or held for the job but not yet built in. Tag each approved change order as Change order.
Your draft stays in this browser and is never uploaded. The starting lines are a sample garage build, so type over them with your own job.
A construction invoice on a staged job is usually a pay application. It lists the contractor and owner, project name, job site, contract number and the period covered, then a schedule of values where every line shows its scheduled value, the percent finished before, the percent finished this period and any stored materials. From the total completed and stored to date, subtract the agreed retainage and everything certified on earlier applications to reach the current payment due. Approved change orders sit on their own lines, and a lien waiver note tells the owner which release comes with the payment.
How the current payment due is calculated
The construction invoice generator values every line of the schedule by how far along it is, adds stored materials, holds back retainage, then credits what earlier applications already certified.
| Meaning on the application | Calculation | |
|---|---|---|
| Scheduled value | The slice of the contract price given to one line of work, such as framing or roofing | Set when the schedule of values is agreed; change orders add new lines |
| Contract sum to date | The price of the whole job as it stands now | Original contract sum + net change orders |
| Work completed | Value of the work built so far on each line | Scheduled value × (previous % + this period %) |
| Completed and stored | Built work plus material on hand that is not yet installed | Work completed + stored materials |
| Retainage | The share the owner keeps back until the job closes out | Retainage % × work completed + retainage % × stored materials |
| Earned less retainage | What the contractor has earned so far, net of the holdback | Completed and stored minus retainage |
| Current payment due | What this application asks the owner to pay | Earned less retainage minus previous certificates, less any discount, plus tax if charged |
Worked example: application 3 on a $66,700 detached garage build with one change order and 5% retainage
How to use this construction invoice template
Work left to right through the four tabs. The sample pay application beside the form updates as you type, which lets you catch a wrong percent before the owner does.
- Company details: your legal company name, address, a phone or email for billing questions, tax ID and contractor license number. Add the person who signs pay applications so the signature line prints with a name under it.
- Owner and project: owner name, billing address, project name, contract number, permit number and the job site when it differs from the billing address. Set the period from and to dates this application covers.
- Schedule of values. One line per division of work with its scheduled value, the percent finished on earlier applications and the percent finished this period. Enter stored materials in dollars on the line they belong to.
- Change orders: add each approved change as its own line tagged Change order, so the original contract sum and the net change stay separate on the PDF.
- Retainage and previous payments: type the retainage rates in your contract and the total of every earlier certificate for payment. The generator works out the current payment due and the balance to finish.
- Download: hit Download PDF and pick Save as PDF when the print dialog opens; nothing else from this page comes along.
What to include on a construction services invoice template
An owner, a lender or an inspector should be able to pick up the application cold and see which job it covers, how far each part of the work has come and why this amount is owed.
| Block | What it carries |
|---|---|
| Contractor details | Company name, address, billing contact, tax ID and the contractor license number, plus the person who signs the application. |
| Owner or property owner | Owner name and company, billing address and a contact for payment questions. |
| Invoice information | Invoice number, application number, application date, due date and currency. |
| Project and permit details | Project name, job site address, contract or project number, permit number and the period from and to dates. |
| Schedule of values | Each division of work with scheduled value, work from earlier periods, work this period, stored materials, total to date and percent complete. |
| Labor, materials and equipment | Rolled into the scheduled value of each line, with subcontracted trades such as electrical or roofing named on their own lines. |
| Change orders | Every approved change on a separate line, so the original contract sum and the net change are both visible. |
| Summary | Contract sum to date, completed and stored to date, retainage, earned less retainage, previous certificates, current payment due and balance to finish. |
| Terms, waiver and sign off | Due date, how to pay, the lien waiver that comes with payment, and a signature with date. |
Why are invoices important for construction work?
On a build that runs for months, each pay application is a dated statement of progress, and the stack of them becomes the payment history of the whole project.
- Steady cash flowBilling each period against the schedule of values means crews and suppliers get paid while the job is still running.
- Proof of progressPercent complete by line, signed and dated, backs you up if a dispute, a lender draw review or a lien claim comes up later.
- Tax and audit recordsNumbered applications in date order keep the books traceable from contract to closeout.
- Owner confidenceAn owner who can check every line approves faster.
- Fewer math errorsA template does the retainage and previous certificate arithmetic the same way every month, so one wrong cell in a spreadsheet does not carry into the next application.
- Clean recordsEvery application, change order and waiver in one consistent format makes closeout and any compliance review much quicker.
How does a schedule of values work on a construction invoice?
The schedule of values splits the contract price into lines that add up to the contract sum. Every pay application then reports progress against those same lines, so the owner compares like with like each month.
| Column | What goes in it |
|---|---|
| Description of work | A division of the job: general conditions, sitework, framing, roofing, electrical, doors and so on. |
| Scheduled value | The dollar share of the contract for that line. All lines together equal the contract sum. |
| From previous applications | Value of the work on that line already billed in earlier periods. |
| This period | Value of the work put in place since the last application. |
| Materials presently stored | Material bought for the line and held on site or in storage, not yet built in. |
| Total completed and stored | The three columns before it added together. |
| Percent complete | Total completed and stored divided by the scheduled value. |
| Balance to finish | Scheduled value minus total completed and stored. |
Agree the schedule of values with the owner before the first application. Changing line values midway makes every later percent harder to defend.
How much retainage can be held on a construction invoice?
Retainage is money earned but held back from each progress payment until the work is finished. The rate usually comes from the contract, and some states write a figure into law. Three examples:
| State | What the statute says |
|---|---|
| Texas | On work where a mechanic's lien may be claimed, the owner must reserve 10 percent of the contract price, or 10 percent of the value of the work done, while the work is in progress and for 30 days after it is completed. |
| Florida | On public construction, the public entity may withhold no more than 5 percent of each progress payment as retainage. The rule does not reach contracts of $200,000 or less. |
| Washington | Public improvement contracts reserve retainage of no more than five percent of the money the contractor has earned, and the contractor may ask for it to be cut to 100 percent of the value of the work still remaining. |
Type the rate written into your own contract in the generator. If stored materials are held at a different rate, set the second retainage box to match, and on the final application set both to 0 so the held amount is billed back.
Which lien waiver goes with a pay application?
Owners and lenders often ask for a lien waiver before releasing each payment. A conditional waiver takes effect only once the money clears; an unconditional one says you have already been paid.
| State | How waivers work |
|---|---|
| Texas | Statute sets four forms: conditional and unconditional, each for a progress payment and for the final payment. A waiver that does not substantially follow the matching form cannot be enforced, and the progress forms carve out unpaid retention and pending changes. |
| Florida | The right to claim a lien may not be waived in advance. The progress payment form releases work furnished through a stated date and does not cover retention, and a waiver given for a check may be made conditional on that check being paid. |
- Progress applications: send a conditional progress waiver for the amount requested, dated through the end of the period.
- After the money clears: swap it for the unconditional version if the owner asks.
- Final application: use the final payment forms, which cover retainage too. Mention them in the lien waiver note so nobody pays and then waits on paperwork.
When does an owner have to pay a construction pay application?
Prompt payment laws set a clock that starts when the owner receives a proper written request. Terms in your contract still matter, so print the due date on every application.
| Where | Deadline | Worth knowing |
|---|---|---|
| Texas, private work | Owner pays no later than the 35th day after receiving the written payment request | Covers properly performed work and suitably stored or specially fabricated materials. The contractor then pays each sub its share within 7 days. |
| Florida, private work | Payment is due once the request is made under the contract terms and the required waivers are furnished | Late amounts carry interest from the 14th day after payment is due. An incomplete request must come back within 14 days with the reasons in writing. |
| Washington, public works | Timely means paid within 30 days of a properly completed invoice | Late payment carries interest of one percent per month, and any withholding must be explained in writing within eight working days. |
Construction quote vs pay application vs receipt
A build produces more paper than a one day repair. Each document below answers a different question for the owner.
| Document | When | Purpose |
|---|---|---|
| Quote or bid | Before the contract is signed | States the price the owner is agreeing to. It is not a bill. |
| Schedule of values | Before the first application | Breaks that price into lines that every later application reports against. |
| Change order | Whenever scope or price changes | Signed record of the change; it becomes a new line on the schedule. |
| Pay application | End of each billing period | The construction invoice for that period: progress by line, retainage and current payment due. |
| Lien waiver | With or after each payment | Releases lien rights up to the amount paid. |
| Final application | At closeout | Bills the last work and the retainage held back across the job. |
| Receipt | Once money arrives | Confirms payment was received; it does not ask for anything. |
Industry specific tips for construction invoicing
Long timelines, several trades and money held back until the end. These habits keep each application easy to approve.
- Use progress billingBill on a fixed day each month against the schedule of values instead of waiting for big milestones. The owner's lender can plan draws around it.
- Separate labor and material costsKeep installed work and stored materials in separate columns, and give each subcontracted trade its own line.
- Bill change orders only once signedAn unsigned change on a pay application is the fastest way to get the whole thing sent back.
- Specify retainage policiesPut the retainage rate and the release point in the contract, then show the amount held to date on every application. Ask for it back at substantial completion or on the final application, as the contract allows.
- Photograph stored materialsOwners often want proof that billed but uninstalled material exists and is protected.
- Send the waiver with the applicationA missing waiver is one of the most common reasons a payment stalls.
Running a construction company? Pay applications only follow contracts you landed.
An owner planning a garage, an addition or a light commercial fit out rings a short list of builders, and the one who picks up gets the site meeting. While you are walking a pour or standing through an inspection, an unanswered ring sends that owner to whoever is next on their list. ServiceAgent answers every inquiry day or night, gathers the scope, address and start date, then puts the estimate visit on your calendar, so the pipeline behind next quarter's billing keeps filling.
Book a free demoFrequently asked questions
Plain answers on construction invoices, pay applications and this generator.
Book a free demoWhat should a construction invoice include?
Contractor and owner details, an invoice and application number, dates, the project name, job site, contract and permit numbers, the period covered, a schedule of values with progress by line, approved change orders, retainage, previous certificates, the current payment due and the payment terms.
When should a construction invoice be sent?
At the end of each billing period your contract sets, often monthly, or when a project phase finishes. Sending on the same day every period helps the owner and any lender plan the draw.
What's the difference between a construction quote and an invoice?
A quote prices the work before the contract is signed. An invoice, or pay application on a staged job, bills the work actually put in place during a period.
How is a construction invoice different from a receipt?
It requests a stated amount by a due date. A receipt is issued afterwards and only confirms the money arrived.
How do I format a construction invoice correctly?
Company and invoice details across the top, owner and project below, then the schedule of values table with a totals row. The summary of contract sum, retainage, previous certificates and current payment due sits at the bottom right, with terms, the lien waiver note and a signature line beneath.
Is it better to use a construction invoice template or generator?
For a one off bill, a blank template is fine. For a project billed month after month, a construction invoice generator carries the same lines forward and recalculates retainage and the amount due each time, which removes most arithmetic slips.
What does a construction invoice generator do?
It gives you a form for your company, the owner, the project and the schedule of values, works out completed and stored to date, retainage and the current payment due, and turns the result into a PDF you can send.
How long does a construction invoice take to create?
The first application takes a few minutes while you enter the schedule of values. Later ones are quicker, because you only update the percentages, stored materials and previous certificates.
What is a pay application in construction?
It is the contractor's formal request for payment for one billing period. It reports progress line by line against the schedule of values, subtracts retainage and earlier payments, and states the amount due now.
Should a construction invoice charge sales tax?
Often it should not. Many states treat a builder as the consumer of the materials it builds into real property, so tax is paid when buying them. Ohio's rule, for instance, says this holds even when a subcontractor does the installing. The generator therefore starts on No sales tax; switch it on only where your state or contract type calls for it.
Can stored materials be billed before they are installed?
Many contracts allow it when the material is on site or in approved storage and protected. Texas law, for example, counts suitably stored or specially fabricated materials in the amount an owner must pay on a written request. Check your contract before billing them.
Is my data saved or uploaded?
Drafts live in local storage on your own browser, ready when you return, and no server ever receives them. The logo file is read on your device too. Reset wipes the form.
Leads growth and product marketing for ServiceAgent at SaaS Labs, where he has worked in product marketing since 2020. Writes ServiceAgent's coverage of AI call answering, CRM and home services operations.
Published by ServiceAgent, the AI front office for home service teams. This generator is a general billing tool, not legal or tax advice. Retainage, lien waiver and prompt payment rules depend on your state, your contract and whether the work is public or private, so check with your state agencies or a construction attorney.