> For the complete documentation index, see [llms.txt](https://docs.crewcost.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.crewcost.com/documentation/daily-workflows/accounts-receivable/add-a-retainage-invoice.md).

# Add a Retainage Invoice

Retainage invoices are used to bill a portion of an invoice while withholding a retained amount until contractual conditions are met. This allows you to manage retained amounts accurately while keeping invoices linked to the appropriate jobs.

To add a retainage invoice:

1. Select **+ New** from the top navigation.
2. Choose **Retained Invoice**.
3. Select **Create an Invoice** to create a standard invoice that includes retainage.

{% hint style="info" %}
**Note:** This option redirects you to the **New Invoice** screen, where you can create a standard invoice that includes retainage. Once an invoice with retainage exists, the customer becomes eligible for retainage invoicing.
{% endhint %}

4. In **Essentials**, complete the required fields:

* **Customer**: Select the customer being billed for the retained amount.
* **Job**: Select the job associated with the original invoice where retainage was applied.
* **Terms**: Define the payment terms for the invoice.
* **Transaction Date**: The date the retainage invoice is issued.
* **Posting Period**: The accounting period in which the invoice is recorded.
* **No.**: The invoice reference number used for tracking.
* **Revenue Account**: The account used to record retainage revenue.

5. In **Items**, review or add the retainage line:

* **Product**: Select the product or service related to the retainage.
* **Description**: Enter a description of the retained amount being billed.
* **Qty**: Enter the quantity.
* **Unit of Measure**: Select the applicable unit.
* **Unit Price**: Enter the rate applied to the retainage.
* **Total Price**: Review the calculated amount.
* **Tax (optional)**: Indicate whether tax applies.
* **Actions**: Remove the item if added by mistake.

6. Review the totals:

* **Subtotal**: The amount before retainage.
* **Retainage**: The retained amount being released.
* **Total**: The final amount to be billed.

7. **(Optional):** In **Additional Details**, add internal or customer-facing comments related to the retainage invoice.
8. Select **Save** to complete the process.

<figure><img src="/files/Y2eD0JyvN2uFMS9SVgPO" alt=""><figcaption></figcaption></figure>

Once saved, the retainage invoice appears in **Accounts Receivable** and follows the standard invoice lifecycle for payment and reporting.

### See Also

Keep exploring our platform by taking the next step:

* [Create an Invoice](/documentation/daily-workflows/accounts-receivable/create-an-invoice.md): Learn how to create and manage customer invoices.
* [Record a Payment](/documentation/daily-workflows/accounts-receivable/record-a-payment.md): Learn how to apply payments to invoices.