Progressive billing lets you invoice a large project as work is completed instead of waiting until the entire job is done. Each draw stays tied to the accepted bid, so you and your customer can see what has been billed, what has been paid, and what remains.
Turn on progressive billing
Open the bid and enable Progressive billing before you send it. Set the default retention as a percentage or fixed amount, then organize the scope into sections. A good section matches work you can inspect and bill on its own, such as demolition, cabinetry, or finish work.
The default retention applies across the bid. Override it on a section only when the contract calls for a different holdback. Write the agreed rate into the contract before work starts. On Colorado public work, retained amounts are generally limited to 5% of the calculated value of completed work; private projects and other locations can follow different rules. Confirm the contract and current local requirements rather than assuming one rate fits every job.
Build clear billing sections
Put every line item in the section where that work will be earned. The section subtotal gives the billing ceiling for that part of the scope, while its retention term controls what is held back from draws against it. The example below uses a 5% bid-level retention and a 3% override for Cabinetry.
Try it yourself
- Review the Cabinetry section and confirm its 3% retention override.
- In the billing ledger, inspect the Cabinet package line and compare billed work with the remaining balance.
| Section / item | Quantity | Amount |
|---|---|---|
| Demo & Preparation — 5% retention | $3,650.00 | |
| Kitchen demolition | 1 allowance | $2,750.00 |
| Dust and floor protection | 1 allowance | $900.00 |
| Cabinetry — 3% retention override | $13,850.00 | |
| Base and wall cabinets | 1 allowance | $8,400.00 |
| Island cabinet package | 1 allowance | $2,200.00 |
| Cabinet installation | 65 linear ft | $3,250.00 |
| Finish Work — 5% retention | $7,100.00 | |
| Quartz countertop installation | 30 sq ft | $1,800.00 |
| Tile backsplash | 29 sq ft | $1,450.00 |
| Electrical finish | 1 allowance | $2,100.00 |
| Plumbing finish | 1 allowance | $1,750.00 |
The read-only ledger below shows the same project partway through production: two jobs have been created, one scope is partially billed, one allowance was struck, and $1,225 of retention is held.
| Item | Value | Billed | Remaining | Status |
|---|---|---|---|---|
| Demolition and protection | $8,500 | $8,500 | $0 | Billed |
| Cabinet package | $25,000 | $16,000 | $9,000 | Partial |
| Finish electrical | $12,500 | $0 | $3,500 | Open allocation |
| Deleted appliance allowance | $2,000 | $0 | $0 | Struck |
- Contract: $48,000 · Allocated: $33,500 · Invoiced: $24,500 · Remaining: $12,500
- Retention expected: $2,400 · Held by customer: $1,225 · Released: $0
- Jobs: JOB-2026-0071 (completed) and JOB-2026-0084 (in progress)
Convert the work you are ready to schedule
After the customer accepts, choose the bid sections you are ready to perform and convert those parts to a job. You do not have to release the whole project at once. The new job keeps its connection to the original bid and section values, which prevents later invoices from drifting away from the approved scope.
Follow every draw in the billing ledger
The billing ledger is the running record for the progressive bid. Use it before creating the next invoice: check the contracted amount, previously billed amount, current draw, retention held, payments received, and remaining amount for each section. This is the quickest way to catch duplicate billing or a section that is nearing its ceiling.
When you prepare a draw, bill only the work actually completed for the period. Conduit calculates retention from the applicable section terms. The customer-facing invoice separates the current work from the retained amount, so Payable now is the amount due on that invoice after retention. An invoice whose earned amount is being held can show retention_held until that money is eligible for release.
Strike completed work and close out cleanly
As sections finish, strike the completed work in the ledger so the next billing review focuses on open scope. Before closeout, compare the ledger with field completion, approved changes, invoices, and payments. Resolve shortages or pending changes before treating the job as complete.
Retention is not released automatically just because the last production invoice was sent. Once the contract’s release conditions are satisfied—such as final inspection, punch completion, or required closeout documents—create the retention release from the remaining held balance. Send that release for payment and confirm the ledger reaches zero. Keep the accepted bid, draws, approvals, and release together as the project’s billing record.