2026-09-24 8 min read
Progress Billing Calculator
Progress invoice from contract value, measured completion, prior billings and retainage — this draw with earned and held lines.
Calculator
Quick presets
Contract($) Help
$
Agreed total
Complete(%) Help
%
Measured progress
Prior billings($) Help
$
Paid to date
Retainage(%) Help
%
Held per app
Diagram
Sketch for progress billing calculator with your values. Not to scale — verify on site before ordering.Plan
| Item | Value |
|---|---|
| This invoiceHeadline this invoice | 39,000.00 $ |
| EarnedSupporting figure | 210,000.00 $ |
| RetainageSupporting figure | 21,000.00 $ |
| Priced value (enter a unit price)Materials before labor + contingency | $39,000.00 |
Cost plan
| Materials | $39,000.00 |
| Labor and install | $0.00 |
| Contingency | $0.00 |
| Project total | $39,000.00 |
Estimates only — get 2–3 local quotes. Labor varies by region.
Comparisons
| No retainage | 60,000.00 |
| Earned check | 210,000.00 |
| Double contract | 78,000.00 |
Results
Normal
This invoice
39,000.00$
From invoice = contract × % − prior − retainage
Earned
210,000.00$
Supporting conversion
Retainage
21,000.00$
Supporting conversion
Estimated cost
$39,000.00
Estimated total
Live results update as you type — currently showing 39,000.00 $ for progress billing calculator. Replace the defaults with your own values for an exact takeoff.
Visualizations
Your invoice vs phases ($)
39,000Your result
39,000Early (~$39k)
180,000Late (~$180k)
Project cost split
Materials100%
Labor0%
Contingency0%
Formula
Progress invoice from contract value, measured completion, prior billings and retainage — this draw with earned and held lines.
invoice = contract × % − prior − retainage
Alternative Form
front-load mobilization honestly or cash goes negative
Variables
| Symbol | Name | Unit | Description |
|---|---|---|---|
| V1 | Contract | $ | Agreed total |
| V2 | Complete | % | Measured progress |
| V3 | Prior billings | $ | Paid to date |
| V4 | Retainage | % | Held per app |
| Q | Result | $ | Headline answer at full precision. |
Explanation
Inputs convert to consistent units first, the formula runs at full precision, then waste and rounding produce the order figure. Cost multiplies by your unit price.
Step-by-Step Calculation
Follow each step to understand how the result is calculated from your inputs.
Step 1
Earned to date = contract x % complete.
earned = 350000 x 60%
Result: 210,000.00
Step 2
This draw = earned minus prior billings minus retainage.
draw = earned - 150,000.00 - 21,000.00
Result: 39,000.00
Final Answer
39,000.00
Worked Examples
See how the calculator works with different scenarios.
Scenario
The live inputs above run through the full path below — not just the headline answer.
Inputs
Contract:350000 $
Complete:60 %
Prior billings:150000 $
Retainage:10 %
Calculation
1. Earned to date = contract x % complete. → 210,000.00 2. This draw = earned minus prior billings minus retainage. → 39,000.00
Result
39,000.00 $
Interpretation
Order the uplifted figure, never the net: cuts, defects, rounding and code minimums consume the allowance.
Understanding Your Result
Your Result: This invoice: 39,000.00 $
Typical range: See the comparisons table below for everyday benchmarks.
What This Means
Your result is 39,000.00 $ (this invoice). That is the engineered figure — verify it against the code table before buying.
Why It Matters
Sizing drives budget, schedule, deliveries and inspections. Small input errors compound across runs, so modelling before buying is the cheapest due diligence.
Professional Interpretation
Plan around 210,000.00 $ (earned), about $39,000.00 at your unit price. Keep same-lot spares for repairs.
How this is calculated
invoice = contract × % − prior − retainage. Progress invoice from contract value, measured completion, prior billings and retainage — this draw with earned and held lines.
What drives the result
Input size, the selected option, waste % and whole-unit rounding. Unit price never changes quantity — only cost.
Recommendations
- •Split irregular scopes into measurable runs and add the sections.
- •Add waste before ordering: x1.10 straight, x1.15 cut-up, x1.20 complex.
- •Measure twice — lasers beat tapes past 20 ft; photograph nameplates.
- •Keep spares: lots, dye and grain shift between batches.
Educational Content
Introduction
Progress invoice from contract value, measured completion, prior billings and retainage — this draw with earned and held lines.
Concept Explanation
Every calculation reduces to invoice = contract × % − prior − retainage, evaluated at full precision after unit conversion. The Steps section shows each substitution so the path is auditable.
Applications
▸Bid pricing and leveling
▸Overhead and margin proofing
▸Pay-app and invoice backup
▸Job reviews and forecasts
▸Lender and owner documentation
Benefits
- •One live calculation — no separate tools per size or material
- •Steps show every substitution for bid backup
- •Waste and rounding separated from net math
- •Instant cost, charts and lists from the same numbers
Limitations
- •Planning math only — it does not replace stamped design where required
- •Allowances use national planning rates; confirm local stock and prices
- •Irregular geometry should be split into measurable sections
Best Practices
- •Confirm nameplate and table values before ordering
- •Keep one unit per field; watch the steps for conversions
- •Photograph measurements and labels for dispute-proof records
- •Add the trade waste factor before ordering, not after
Common Misconceptions
Myth: Order exactly the computed figure.
Truth: Cuts, defects, fittings and rounding consume 10-20%. Ordering net guarantees a second trip.
Myth: Sticker price picks the cheapest option.
Truth: True cost is installed cost per net unit after waste, labor and contingency — compare that line.
Myth: One rule fits every job.
Truth: Straight runs, retrofits and complex layouts need different allowances — use the sensitivity example.
Practical Tips
- •Run one calculation per run, room or phase, then add the order lines.
- •Pick stock sizes that divide your runs evenly to cut waste several points.
- •Photograph each measurement next to the tape for bid backup.
- •Enter your actual unit price to turn the takeoff into a budget in one step.
Common Mistakes
Ordering the net figure with no waste.
Use the order line: net x (1 + waste%) rounded up to whole units.
Mixing units in one run.
Keep one unit per field; the steps show every conversion explicitly.
Forgetting fittings, slack and extras.
Add equivalents and slack first, then apply waste — in that order.
Ignoring lot/batch differences on the second trip.
Order spares from the same lot up front.
Skipping the verification step.
Recompute one line by hand using the FAQ method before paying.
Assumptions
This calculator makes the following assumptions to provide estimates:
Consistent units: Each field uses its stated unit; conversions run before the formula.
Standard conditions: Water at ~60 F; copper electrical at 75 C terminations unless noted.
Code minimums: Results at or above model-code minimums; local amendments may require more.
Limitations
Be aware of these limitations when using this calculator:
Not a stamped design: Planning and takeoff math; get licensed design where the AHJ requires it.
Estimates, not quotes: Cost plans use allowances and your unit price — get 2-3 local quotes.
Frequently Asked Questions
Answers to common questions about this calculator.
What does the Progress Billing Calculator do?
The Progress Billing Calculator covers: progress invoice from contract value, measured completion, prior billings and retainage — this draw with earned and held lines. Enter your values above and every result, step, chart and plan updates live.
What is the formula behind the Progress Billing Calculator?
The core formula is invoice = contract × % − prior − retainage. The alternate form shown on the page is front-load mobilization honestly or cash goes negative. All math runs at full precision; only the display is rounded.
What inputs does the Progress Billing Calculator need?
Enter Contract ($, default 350000) and Complete (%, default 60), plus Prior billings ($) and Retainage (%). Live steps show each substitution.
What units does the Progress Billing Calculator report?
The headline result is reported in $ (this invoice), with earned in $ and retainage in $ beside it. Keep one consistent input unit per field.
How accurate is the Progress Billing Calculator?
Arithmetic follows directly from your inputs using invoice = contract × % − prior − retainage, so accuracy equals measurement quality. Verify one line by hand (see the verification FAQ), confirm nameplate values, and check against the governing code table before buying.
Can you walk through an example with the Progress Billing Calculator?
With the defaults (contract 350000 $, complete 60 %), the calculator substitutes each value into invoice = contract × % − prior − retainage in the Steps section and lands on the dashboard headline. Change any input to replay the path with your numbers.
Which code or standard governs the Progress Billing Calculator?
AGC/AACE estimating practice and local lien/retainage statutes frame the work; the calculator implements the standard math, and your local amendment has the final word.
How does the Progress Billing Calculator price the job?
Enter any unit price and the dashboard, cost plan and pie chart split materials, labor allowances and a 10% contingency instantly. Leave price blank for an engineering-only answer.
What is the most common mistake with the Progress Billing Calculator?
Mixing units (inches vs feet, kW vs BTU/h, yards vs bags) and skipping waste, coverage and rounding allowances. The Steps section exposes every conversion so a slipped unit is visible immediately.
When should I hire a pro instead of trusting the Progress Billing Calculator?
Use the calculator for planning, takeoffs and quote checks; hire a licensed professional estimator for permitted work, structural/roof changes, fuel and power connections, and anything the inspector must see. Bring the printed steps — pros quote faster with documented numbers.
What is the difference between markup and margin in the Progress Billing Calculator?
A: markup = profit/cost; margin = profit/price. A 20% markup is a 16.7% margin — the Progress Billing Calculator converts both ways so bids quoted either way cross-check before signing.
How much overhead per the Progress Billing Calculator?
A: small contractors run 10-20% overhead, mid-size 15-30% (office, insurance, vehicles, supervision). Overhead $ = direct costs x overhead % — the Progress Billing Calculator spreads it per job or per hour.
How do labor costs build in the Progress Billing Calculator?
A: burdened rate = base wage x 1.25-1.4 (taxes, insurance, benefits); labor $ = hours x rate x crew. The Progress Billing Calculator burdens base rates so bids never carry raw wages.
How do I build a unit price in the Progress Billing Calculator?
A: unit price = (labor + material + equipment)/quantity x (1 + overhead %) x (1 + markup %). The Progress Billing Calculator assembles each layer from your crew rate, production rate and material price.
How do equipment costs work in the Progress Billing Calculator?
A: rental $ = rate x time + delivery/fuel; ownership $ = purchase + finance + insurance + maintenance spread over billable hours. The Progress Billing Calculator time-cost specs run both so rent-vs-own compares fairly.
How do subcontractor costs work in the Progress Billing Calculator?
A: sub cost = quote + extras + tax, carried with your markup applied symmetrically on adds and credits. The Progress Billing Calculator separates sub dollars from your markup so neither hides.
What should my hourly rate be per the Progress Billing Calculator?
A: billable rate = (base wage x burden + hourly overhead + profit share) — typically 2-3x base wage for small shops. The Progress Billing Calculator rate specs build it from your wage, burden and overhead inputs.
How do change orders price in the Progress Billing Calculator?
A: direct cost of the change x (1 + overhead %) x (1 + markup %) plus schedule impact. Document before doing the work — the Progress Billing Calculator prices adds and credits symmetrically.
How does retainage work in the Progress Billing Calculator?
A: owners typically hold 5-10% per pay app until substantial completion; release halves at 50% on many jobs. Retainage $ = billed x % — the Progress Billing Calculator tracks held vs released cash.
How do progress billings work in the Progress Billing Calculator?
A: this invoice = contract x % complete - prior billings - retainage. The Progress Billing Calculator billing specs phase draws across milestones so cash flow stays positive mid-job.
How do deposits work in the Progress Billing Calculator?
A: deposits (often 10-50% down, within state limits) apply against the contract balance — deposit $ = contract x %. The Progress Billing Calculator deposit specs show the deposit and the balance due side by side.
How do I forecast job cost in the Progress Billing Calculator?
A: estimate at completion = actual to date + remaining qty x current unit rate; variance = budget - forecast. The Progress Billing Calculator extrapolates burn rate so overruns surface while they are fixable.
What is break-even per the Progress Billing Calculator?
A: break-even revenue = fixed overhead/(1 - variable-cost ratio). Below it the company loses money even on busy jobs — the Progress Billing Calculator ratios overhead against margin.
How do I compare bids in the Progress Billing Calculator?
A: line up scope, alternates, exclusions and unit prices before comparing bottom lines; the low bid usually excludes something. The Progress Billing Calculator per-unit lines expose unbalanced bids.
How much contingency per the Progress Billing Calculator?
A: 5% for well-defined repeat work, 10% standard bid contingency, 15-20% for renovation/unknowns. Contingency $ = base x % — the Progress Billing Calculator holds it outside markup so it is not double-counted.
How do I handle cost variance in the Progress Billing Calculator?
A: variance $ = actual - budget; variance % = variance/budget x 100. Over 5% triggers reforecast by cost code — the Progress Billing Calculator flags overruns before closeout.
What does insurance cost per the Progress Billing Calculator?
A: general liability, workers comp (by class code and payroll), auto and builder’s risk run roughly 2-6% of revenue for small contractors. The Progress Billing Calculator applies your rate to payroll or contract value.
What do permits cost per the Progress Billing Calculator?
A: base fee plus valuation-based charges (often ~0.5-1.5% of job value) plus trade permits and re-inspection fees. The Progress Billing Calculator totals fixed fees plus valuation charges.
How do I verify the Progress Billing Calculator by hand?
A: total = (labor + material + equipment + subs) x (1 + overhead %) x (1 + markup %) + contingency; margin = profit/price. If hand math differs, check markup-vs-margin and burdened-vs-base wages.
What is the biggest costing mistake the Progress Billing Calculator prevents?
A: bidding labor at base wage with no burden, confusing markup with margin, and forgetting retainage in cash flow — the classic triple that bankrupts busy contractors. The Progress Billing Calculator burdens, separates and phases each.
When should I hire a pro per the Progress Billing Calculator?
A: use a professional estimator for bonded, design-build and multi-prime work; get CPA review of overhead rates yearly. Use the Progress Billing Calculator for planning and checks; use pros for bids that can sink the company.
How do I document the Progress Billing Calculator for a bid or lender?
A: save the steps with quantity takeoffs, crew rates, sub quotes, overhead calc and markup summary. Lenders and owners approve documented bids; unit-price schedules settle change orders.
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Glossary
Technical terms used in mortgage calculations explained in plain language.
- This invoice
- Headline result of this calculator, reported in $.
- Net vs order quantity
- Net is pure math before waste; order adds waste %, coverage and whole-unit rounding.
- Waste factor
- Uplift for cuts, offcuts, defects and rework — typically 10% straight runs, 15% cut-up, 20% complex.
- Markup vs margin
- Markup = profit/cost; margin = profit/price. 20% markup = 16.7% margin.
- Burdened rate
- Base wage x 1.25-1.4 covering taxes, insurance and benefits.
- Takeoff
- Measured quantities from plans feeding the estimate.
- Retainage
- Held-back share (5-10%) released at substantial completion.
- Break-even
- Revenue covering fixed overhead at the current variable-cost ratio.
Authoritative References
Trusted sources and standards referenced by this calculator.
AACE International — Cost Engineering Practice Associated General Contractors (AGC) — Estimating Resources U.S. Small Business Administration — Construction Cost Guidance RSMeans — Construction Cost Data IRS — Employer Tax and Payroll Guidance Home Depot — Pro Project Guides
Applicable Standards
Bid = (labor + material + equipment + subs) x (1 + overhead %) x (1 + markup %) + contingencyMarkup = profit/cost; margin = profit/price; burden labor x 1.25-1.4Retainage 5-10% per app; deposits within state limits apply to the balanceBreak-even revenue = fixed overhead / (1 - variable-cost ratio)Money rounded for display only; all calculations run at full precision
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Page Information
Last Updated:
2026-09-24
Version:
2.0.0
References:
License:
Free to use for educational and professional purposes.