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Procore (en-GB)

Create an Owner Invoice

Objective

To learn how to create an owner payment application for work completed. 

Background

An Owner Payment Application is an application for payment, typically submitted by a Main Contractor (GC) or Construction Manager (CM) to an Owner to provide an itemized record of the amount due for work performed. In Procore, an owner payment application is equivalent to an accounts receivable payment application.

Things to Consider

  • Required User Permissions:
    • To create an payment application, 'Admin' level permissions on the project's Main Contracts tool.
    • To view the Detail tab on an payment application, 'Read Only' or 'Standard' level permissions on the project's Main Contracts tool with the 'View Owner Payment Application Detail' granular permission enabled on your permission template.
      Note: If you do NOT have 'Admin' level permissions on the project's Main Contracts tool and want to view some or all of the main contracts, see View a Main Contract.
  • Additional Information:

Prerequisites

Steps

  1. Navigate to the project's Prime Contracts tool.
  2. Locate the main contract to work with. Then click its Number link. 
  3. Click Create Invoice.
     Note
    If an payment application has already been created for the current billing period, click the Payment Applications tab. Then click the Edit button to open it. 
  4. In the 'New Payment Application (Payment Application)' page, do the following:
    • Commitment Billing Period
      Select the current billing period from the drop-down list. If there is no billing period in this list, follow the steps in Create Automatic Billing Periods or Create Manual Billing Periods.
    • Payment Application #
      Enter a unique, alphanumeric identification number for the payment application. Procore automatically numbers payment applications in ascending numerical order, starting with one (1). The number entered in this field does NOT affect Procore's default payment application numbering scheme.  
    • Period Start
      Select a start date for the payment application. Procore automatically populates this field with the current billing period's start date. 
    • Period End
      Select an end date for the payment application. Procore automatically populates this field with the current billing period's end date. 
    • Billing Date
      Select the billing date for the payment application.
    • Status
      Select a status for the owner payment application. See What are the default statuses for Procore payment applications?
    • Percent Complete
      Shows the percentage of work completed.
    • Attachments
      A PDF of the payment application and any related payment application PDFs from the project's Direct Costs tool are combined into a single PDF and attached here. 
  5. Click Create
     Note

    You will be prompted to confirm that you want your new payment application to pre-populate with the following information:

    • Amounts on the 'Work Completed' and 'Materials Presently Stored' columns of 'Approved' and 'Pending Approval' subcontractor payment applications. 
    • Amounts for 'Payment Applications' created in the project's Direct Costs tool when the 'Received Date' on that direct cost falls within the billing period. 
    • Amounts from Commitment Variations (CCOs) that have amounts in Main Contract Variations (PCCOs). 
  6. In the 'Do you want to pre-fill the Owner Payment Application?' message, you have these options:
    • Yes. Click this button to confirm that you want the payment application to pre-populate the payment application with the amounts billed from the fields listed in the message. 
    • No Thanks. If you want to manually complete the payment application
    • Cancel. Click this button to cancel payment application creation. 
  7. Scroll down the page to view a preview of the invoice form under "Summary Preview." To learn how the 'Current Amount Due' amount is calculated, see How does Procore calculate the 'Current Payment Due' amount on an invoice?

Edit Line Items

  1. Click the Detail tab. 
     Note
    Note: Users with 'Read Only' or 'Standard' level permission on the Main Contracts tool can only view the Detail tab only if the 'View Owner Payment Application Detail' granular permission is enabled on their permission template.
  2. Click Edit.
    owner-payment application-detail-tab-edit-button.png
  3. Enter data in these YELLOW boxes:
    payment application-work-completed-this-period.png
    • Work Completed (This Period)
      If you confirmed the option for Procore to automatically complete the owner payment application's amounts (see How does Procore automatically complete amounts on an owner payment application?), the values from the 'Work Completed (This Period)' column from any related subcontractor payment applications and any direct costs amounts are included in this column.
    • Materials Presently Stored
      If you confirmed the option for Procore to automatically complete the owner payment application's amounts Payment Application amounts (see How does Procore automatically complete amounts on an owner payment application?), the values from the 'Materials Presently Stored' column in any related subcontractor payment applications are included in this column. 
    • Work Retainage Retained this Period
      Enter a percentage or dollar amount for work retainage retained this period. You can also set retainage on all line items by entering a value into the right sidebar and clicking Set.
    • Materials Retainage Retained this Period
      Enter a percentage or dollar amount for materials retainage retained this period. You can also set retainage on all line items by entering a value into the right sidebar and clicking Set
    • Work Retainage $ Released This Period
      Enter a dollar amount of work retainage released this period.
  4. Optional: If you have any 'Approved' contract variations, you can choose to add them to the payment application by scrolling to the bottom of the page and clicking Add to Payment Application
    The entry and editing of the variations will always occur at the line item level of detail. You can select a different level of detail for how variations will be displayed on the detail page of the Payment Application when being viewed or exported from Procore. See Edit the Advanced Settings Tab for a Main Contract.
    Values on an payment application are never copied to a project's variations.
  5. Click Save.
    Your changes are reflected on the General tab under the Contract Summary Report section. 

 

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.