Skip to main content
Procore (en-GB)

Submit a New Payment Application as an Payment Application Contact

 Limited Release

On Friday, December 18, 2020 Procore began the first phase of a gradual rollout of the new collaborator view for the Project level Invoicing tool. For the initial phase, this feature will be released to a limited number of Procore customer accounts. Then, over the following several weeks, the feature will continue to be rolled out to additional Procore customers until the rollout process is complete. To learn more, see Financial Management: (Coming Soon!) New Collaborator View for the Invoicing Tool.

If you are an payment application contact and looking for instructions for the previous version of subcontractor invoicing, please see Submit a New Payment Application as an Payment Application Contact and How do I bill for stored materials in Procore?

Important!  If you are a Procore customer who has purchased a custom workflow for invoicing (see Procore Custom Solutions),  your company account will NOT be receiving this update. This is because your project's Invoicing tool requires a customised approval path for processing your subcontractor payment applications. If you have any questions about invoicing and your custom workflow, please reach out to your company's Procore point of contact.  

Objective

To submit a new subcontractor payment application as an payment application contact after accepting an 'Invite to Bill.' 

Background

If you are the designated payment application contact for a purchase order or subcontract, the company you are performing work for creates a billing period to define the 'Billing Date' for submitting your payment application. After the billing period is created, the payment application administrator has the option to send you an email message with the subject line, "Project Name: User Name has invited you to bill." The invite is a courtesy reminder to help ensure that an payment application is created and submitted before the due date. 

Things to Consider

Prerequisites

Steps

Step 1: Enter an Payment Application Number

  1. In the 'New Payment Application for' page under 'General Information,' enter a number in the Payment Application # box.
     Notes
    • Typically, you will enter a reference number that corresponds to your organization's payment application number.
    • If you are NOT sure what to enter here, contact the payment application administrator for the Procore company account for a resolution.
  2. Verify that the information in the following fields is automatically completed for you. 
    • Billing Date. Indicates the due date for the billing period. 
    • Period Start. Indicates the start date for the billing period. 
    • Period End. Indicates the end date for the billing period. 
  3. Continue with the next step. 

Step 2: Update the Programme of Values

  1. Scroll to the Programme of Values section.
  2. Click a cell to update the value.
 Important
  • Depending upon the accounting method that the payment application administrator configured for the commitment that you are billing against, follow the steps for the appropriate accounting method listed below. 
  • To learn how an payment application administrator sets the accounting method for the payment application, see How do I set the accounting method for a commitment or main contract?

Amount Based Accounting Method

Use this method to payment application lump-sum amounts for the payment application line items on the Bill of Quantities (BOQ). Procore automatically calculates and adjusts the other entries on the line item for you. If you want to release retention, enter a monetary amount as needed. Depending on your specific commitment, you may also have the option to bill for stored materials (pictured below). For details about the additional columns that appear when billing for stored materials, see How do I bill for stored materials in a subcontractor payment application? 

boq-amount-based.png

Click here for more detailed information about the Amount Based accounting method.  

The Amount Based accounting method requires you to enter lump sum amounts on each line item in the BOQ. With this method, Procore automatically uses your entries to calculate and update the values in other columns. 

 Note
An asterisk (*) in the list below indicates that you can edit the value of the BOQ line item on your payment application. 
  • Description of Work
    Shows the 'Description' as it was documented in the BOQ for the purchase order or subcontract. 
  • Value
    Shows the monetary amount value of the line item on the purchase order or subcontract. 
  • Previous Progress
    Shows the percentage amount of work performed from any previous payment application(s). 
  • Total Progress %
    Enter a percentage amount to represent the progress milestone for work performed this billing period. This is a cumulative running total of the progress for the commitment. 
    For example, if you have completed 5% of the contracted work, enter 5.00% here. Your entry automatically calculates the values in the 'Work Progress' and the 'Total Retention' columns. 
  • Work Progress
    If you entered a value in the 'Total Progress %' column, this value is automatically updated for you. You can enter any monetary amount here to represent the monetary amount of work performed this billing period and it will automatically update the 'Total Progress %' for you. 
  • New Materials
    Enter a monetary amount for materials for this billing period. Your entry automatically calculates the values in the 'Total Progress %' and 'Total Retention' columns. 
  • Conditional: Materials Stored
    If the payment application administrator turned ON the 'Enable Billing Separately for Stored Materials' setting for the commitment, enter a monetary amount to represent the amount of materials stored from the last billing period. An payment application administrator turns can turn ON one (1) of three (3) configuration options in your payment application. For details, see How do I bill for stored materials in a subcontractor payment application? As a payment application contact, you cannot modify this setting:
    • New Materials is Empty in Each New Payment Application. Procore resets the value of the entry in the 'New Materials' column to zero (0) on each line item on the Programme of Values. This is the default setting for the collaborator view. See an example
    • New Materials Carry Over and Stay in Column. Procore sets the value of the entry in the 'New Materials' column to zero (0) on the first payment application, so the payment application contact can update the entry to the appropriate value. When a subsequent payment application is created, the value of the entry in the 'New Materials' column reflects the same monetary amount as was entered on the previous payment application. See an example
    • New Materials Move to a Materials Stored Column. Procore sets the value of the entry in the 'New Materials' column to zero (0) on the first payment application, so the payment application contact can update the entry to the appropriate value. This option also adds a 'Materials Stored' column to the right of the 'New Materials' column. When a subsequent payment application is created, the value entered in the 'New Materials' column is reset to zero (0) and the value previously entered in the 'New Materials' column is automatically moved to the 'Materials Stored' column. See an example
       Notes
      • Procore allows you to apply different retention percentages to the values you enter in the 'Work Progress' and 'Materials Stored' columns.
      • In the event that you do use a different retention percent on each, it's important to note that the retention value is recalculated when you move an amount from Materials Stored to Work Completed.
      • Here is an example where Work Progress Retention is set at 10% and Materials Stored Retention is set at 5%.
  • Retention Released
    Enter a monetary amount of retention that you are requesting to be released this billing period. It is important to note that you can request the amount to be released, but you are NOT permitted to change the rate of the retention. 
  • Total Retention
    Shows the total monetary amount of retention to be released for the line item. 

Unit-Based Accounting Method

Use this method when invoicing for materials you've ordered in quantity. With this method, you enter the 'Total Progress' percentage or the 'New Quantity' for the line item on your BOQ. Procore automatically calculates and adjusts the other entries on the line item for you. If you want to release retention, enter a monetary amount as needed. 

unit-based.png

Click here for more detailed information about the Unit Based accounting method.  

 
 
 
Page path to reuse:

 

 
 
 

 

Step 3: Add Attachments

If you have any files to add as an attachment to the payment application, you can add them now. For example, you might be required to add a lien waiver or a signed PDF copy of the payment application. 

  1. Scroll to the Attachments section.
  2. Click Attach Files.
  3. Upload any files that may be required from your computer.
     Notes
    • The Attach Files option is NOT available after the payment application is 'Approved.'
    • To add an attachment after approval, click the vertical ellipsis icon-ellipsis-options-menu.png  at the top of the page (shown below) and choose Add Attachments from the drop-down menu.

      ellipsis-add-attachment.png
  4. Continue with the next step.

Step 4: Save as Draft or Send for Review

If you are ready to submit the payment application for review, you may do so now. If you want to submit the payment application at a later time, you have the option to save the payment application. Choose one (1) of these options:

  • If you are NOT ready to send the payment application, click Save as Draft. This sets the payment application's status to Draft. 
     Tip
    If you want to email a copy of your payment application to others before submitting it for review, Procore recommends following the steps in Export a Subcontractor Payment Application. You can then add your payment application as an attachment to a message using your company's email system. 
    OR
  • If you are ready to send the payment application, click Send. This automatically sets the payment application's status to Under Review.
     Important

See Also

 

If you would like to learn more about Procore’s invoice management software and how it can help your business, please visit our construction invoice management software product page here.