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AIA-Style G702 / G703 Payment Application Calculator

A G702-style application asks for the same nine figures every month, and most of the arguments come from two of them. This works out contract sum to date, total completed and stored, retainage, and what is actually due this period — with separate retainage rates on completed work and stored materials, because plenty of contracts treat those differently.

Current payment due

$236,500.00

Contract sum to date: $1,285,000.00
Total completed and stored: $685,000.00
Retainage on completed work: $64,000.00
Retainage on stored materials: $4,500.00
Total retainage: $68,500.00
Total earned less retainage: $616,500.00
Less previous certificates: $380,000.00
Balance to finish, including retainage: $668,500.00
Percent of contract work complete: 49.81%

How the calculation works

Contract sum to date: Original contract sum + Net change orders
Total completed and stored: Work completed + Stored materials
Retainage on completed: Work completed × Completed retainage %
Retainage on stored: Stored materials × Stored retainage %; Frequently zero. Check the clause.
Total earned less retainage: Total completed and stored − Total retainage
Current payment due: Total earned less retainage − Previous certificates
Balance to finish: Contract sum to date − Total earned less retainage; Includes retainage still held.

Worked example

Original contract sum: $1,200,000.00
Net change orders: $85,000.00
Contract sum to date: $1,285,000.00
Work completed: $640,000.00
Stored materials: $45,000.00
Total completed and stored: $685,000.00
Retainage at 10% on both: $68,500.00
Total earned less retainage: $616,500.00
Less previous certificates: $380,000.00
Current payment due: $236,500.00
Balance to finish: $668,500.00

Percent complete reads 49.81% because it measures completed work against the contract sum. The $45,000 of stored materials is billable but nothing has been built with it, so it does not count toward progress — only toward what you can invoice.

How to use it

01Enter the original contract sum, then the net effect of all approved change orders. Deductive changes go in as negative numbers.
02Enter work completed to date as a dollar value, not a percentage — a G702 continuation sheet works in dollars per line item.
03Enter materials presently stored on site but not yet incorporated into the work.
04Set the two retainage rates separately. If your contract withholds nothing on materials, set that rate to zero rather than averaging the two.
05Enter the total of all previous certificates for payment, not just the last one.

Common mistakes

Applying one retainage rate to everything

Many contracts withhold a different percentage on stored materials, or none at all. Blending the two rates into a single figure either over-withholds on materials or under-withholds on work, and the error accumulates across every application.

Counting stored materials as progress

Materials on site are billable but nothing has been built with them. Folding them into percent complete overstates progress, which is the kind of discrepancy an architect notices at closeout rather than in month three.

Using the original contract sum after change orders

Once a change order is executed it becomes part of the contract sum to date. Billing against the original figure understates every application after it.

Entering only the most recent certificate

Line 7 is the sum of all previous certificates. Entering the last one alone produces a current payment far larger than you are owed, and it will be caught.

Questions

What is a G702 payment application?

An industry-standard summary form for requesting progress payments on a construction contract, usually submitted monthly alongside a continuation sheet that breaks the work down by line item.

Is this an official AIA form?

No. BuildPayTools is not affiliated with, endorsed by, or sponsored by The American Institute of Architects, and this tool does not reproduce any AIA document. It calculates the figures such an application requires, using original layout and wording.

Why are there two retainage fields?

Because contracts routinely treat completed work and stored materials differently — a common arrangement is to withhold the standard rate on work and nothing on materials. Keeping them separate means the withholding matches the contract rather than an average.

What is the balance to finish?

The contract sum to date less total earned after retainage. It includes retainage still being held, so it represents everything still to be collected on the job, not only the work still to be performed.

Can the current payment due be negative?

Yes, if previous certificates exceed what has been earned less retainage. That means billing has run ahead of the work in place, and the difference is normally carried forward against the next application.