Free construction invoice template with progress billing
This free construction invoice template handles the way trade work actually bills: progress payments against a schedule of values, retainage held and released, and change orders on their own lines. The full structure is on this page and the downloads are free. If a GC has ever bounced your invoice for format, the layout below is the fix.
What goes on a construction invoice
| Field | What goes there |
|---|---|
| Contractor and project identity | Your company, license number where your state requires it on invoices, the project name, and the job site address. Office address alone is not enough on multi project accounts. |
| GC or owner billing details | Whoever holds the contract. On subcontracts, bill the GC exactly as named in the subcontract agreement. |
| Invoice number and application number | Progress billing counts applications: application 3 for the period ending April 30. Number both and the payment chain stays traceable. |
| Original contract sum | The signed contract amount before any changes, stated on every application. |
| Approved change orders to date | Their net total, revising the contract sum. Unapproved work does not appear here, or anywhere, until it is signed. |
| Schedule of values lines | Each scope of work with its scheduled value, percent complete this period, and the amount earned. This table is the invoice. |
| Retainage | The withheld percent shown as its own deduction line, 5 to 10 percent by contract, so both sides watch the held balance grow and eventually release. |
| Previous payments received | Total paid on prior applications, deducted before the current amount due. |
| Current payment due | Earned to date, less retainage, less previous payments. The one number this application requests. |
| Lien waiver reference | Note the conditional waiver accompanying the application. Conditional on payment now, unconditional only after funds clear. |
The line-item table
| Description | Scheduled value | Percent complete | This invoice |
|---|---|---|---|
| Demo and site prep | $4,000.00 | 100% | $4,000.00 |
| Rough framing | $12,500.00 | 60% | $7,500.00 |
| Electrical rough-in | $8,200.00 | 25% | $2,050.00 |
| Change order 1, LVL beam added per April 12 approval | $1,850.00 | 100% | $1,850.00 |
How to use this template
- Build the schedule of values at contract signing. Break the contract sum into scopes the GC recognizes: demo, framing, rough-in, finish. Every future application bills percent complete against these same lines, so get the breakdown agreed before work starts.
- Bill percent complete, monthly or by milestone. Each application states how complete each line is and claims the difference since last time. Framing at 60 percent on a $12,500 line has earned $7,500 to date; if $5,000 was billed before, this application asks for $2,500.
- Keep change orders visibly separate. Each approved change order is its own line with its approval date. Folding changed work into base scope lines is how subs lose track of what was approved and GCs deny what was buried.
- Apply retainage arithmetic consistently. If the contract holds 10 percent, every application shows the deduction and a running held total. Bill the retainage release as its own final application at substantial completion, because unbilled retainage is the easiest money in construction to forget.
- Exchange the waiver for the check. Send a conditional lien waiver with each application and sign the unconditional version only after payment clears. Signing unconditional waivers against uncleared checks is the classic way to lose your strongest card while still unpaid.
Get paid faster
Know your state's retainage rules
Retainage commonly runs 5 to 10 percent, and a number of states cap it, particularly on public work. If the contract says 10 and your state says 5, the statute wins, but only if you know it exists.
Match the GC's paperwork or wait
If the GC bills on AIA G702 and G703 forms, submitting your own format adds a translation step to every cycle. Ask on day one what the pay application package must include: waiver forms, certified payroll, photos.
Invoice on the contract's schedule, not your cash flow
Most subcontracts set an application deadline, often the 25th for month end payment. Miss it by a day and payment slips a full cycle. Put the recurring deadline on the calendar the day you sign.
Track pay-when-paid exposure
Many subcontracts tie your payment to when the owner pays the GC. Read that clause before signing, keep your own aging on every application, and start lien deadline math from the first unpaid day, since preliminary notice windows in some states are as short as 20 days from starting work.
The blank PDF covers a single draw and the CSV opens in Excel or Google Sheets for a full schedule of values; both are free downloads.
Frequently asked questions
What is retainage?
A percentage of each progress payment, typically 5 to 10 percent, held back until the project reaches substantial completion, as security for finishing punch list work. It appears on every application as a deduction, and the release gets billed as its own final application. Several states cap the percentage, especially on public projects.
What is progress billing?
Billing a long job in slices as work completes, against a schedule of values agreed at contract signing. Each application states percent complete per scope line, claims the amount earned since the last application, and deducts retainage and prior payments. It is how nearly all commercial construction and most sizable residential work pays.
How do change orders show up on an invoice?
As separate lines carrying the approval date, never merged into base scope. The application also restates the contract math up top: original sum, plus approved change orders, equals current contract sum. Work performed on an unsigned change order is a donation until the signature exists.
What are AIA G702 and G703 forms?
The standard pay application package many GCs require: the G702 is the summary and certification page, the G703 is the continuation sheet breaking the contract into scheduled values with percent complete per line. The template on this page mirrors the G703 logic, so moving between formats is mostly retyping.
Should I sign a lien waiver with my invoice?
Send a conditional waiver with the application, which takes effect only when payment actually arrives. Sign an unconditional waiver only after funds clear your account. The distinction is the whole game: an unconditional waiver signed against a bounced check waives rights for money never received.
What does Staxen do for contractors?
This is the one page in the series aimed at Staxen's actual customer. Ivy the Invoicer generates progress invoices with milestone billing, collects by card or ACH, chases overdue balances automatically, and syncs QuickBooks both ways, at $59 per month per AI employee, $149 per month for all three, with the first job free and no card required.
Start free with Staxen: your first job is on us, no card required.