Construction projects are often long and complicated endeavors. They’re also expensive. Payment is determined in the contract process, which includes the contractor payment schedule.
What’s included in the contractor payment schedule and the different types are a critical part of the professional relationship between the project owner and the general contractor. Let’s look at the construction payment schedule to fully understand its benefits.
What Is a Contractor Payment Schedule?
The contractor payment schedule is how contractors in construction projects are paid. It’s unusual for contractors to get a payment for their work in one lump sum. Therefore, a construction payment schedule shows how they receive compensation for their work over the project’s life cycle.
This contractor payment schedule is defined in the construction contract and sets pay over regular intervals across the project schedule. This sets clear payment terms for the contractor and reduces the risk of them receiving late payments or even no payment at all. The construction payment schedule can be looked at as a sort of insurance.
One goal of the contract negotiations between the project owner and the general contractor is to draft a mutually beneficial contractor payment schedule that aligns with the project requirements and protects all the parties involved. Because the construction payment schedule is linked to the project schedule, it should be part of any project plan.
Incorporating the construction payment schedule with the execution of the project can be seamlessly achieved with project management software. ProjectManager is award-winning project and portfolio management software with robust Gantt charts that plan, manage and track schedules in real time.
Not only can general contractors include the contractor payment schedule in their project timeline, but they can link all four types of task dependencies to avoid costly delays that cut into their profit margin. They can also filter for the critical path to identify essential tasks to keep the project on schedule and set a baseline to track planned versus actual effort in real time. Get started with ProjectManager today for free.
What Should Be Included In a Contractor Payment Schedule?
A construction payment schedule is part of the contract in a construction project. But beyond that, what’s included in that contractor payment schedule can vary. However, most usually include the following.
Project Information: The name of the project, where it’s located and a description of the project is always in the contract, including the start date and its expected duration.
Names of Those Involved: Contracts list the names of the contractor, project owner and subcontractors who are also bound by the contract.
Scope of Work: Include the tasks, materials and services covered in the contract.
Payment: Detail the payment due to all parties involved and the due date for those payments.
Frequency: Define the timing of payments, such as due dates or the intervals at which payments must be made. This is often tied to milestones, the completion of specific tasks or can be scheduled for monthly, bi-weekly, etc.
Method of Payment: How will payments be disseminated, such as by check, electronic transfer, etc.
Terms: Define the payment terms, as in any penalties or invoicing requirements.
Method of Resolving Disputes: Outline the process for payment-related disputes, such as mediation or arbitration procedures.
Actual Payment: Note the amount to be paid and the date by which it must be paid.
Signatures: There must be signature lines for all involved parties and another line to indicate the date the contract is signed.
Types of Construction Payment Schedules
All parts of a construction contract are important. The contractor payment schedule is one of the most important pieces to nail down for the general contractor and the project manager alike. Not only does it define payment, but it can help keep the schedule on track by avoiding disputes and staying within the budget.
The contract type can impact the construction payment schedule. Therefore, it’s important to understand the various types of construction payment schedules. Each has its advantages and disadvantages. Let’s review six of the most common types of constructor payment schedules.
Deposit and Final Payment
This type of contractor payment schedule is ideal for smaller construction projects. The deposit covers materials, permits and sometimes labor. The final payment deals with the profits and expenses. This way, a general contractor doesn’t have to front all the money and the property owner has the balance to ensure that work is done to their satisfaction.
Progress Payments
Medium-to-large construction projects need a different type of contractor payment schedule. Progress payment means that the payments come at specific times during the execution of the project. There are many ways in which a progress payment can be given out. The last four types of construction payment schedules explain the different types of progress payments.
Time-Based Payments
The payments are broken up into equal distributions. This is usually done monthly with set dates for payment delivery. This payment schedule is clearly defined in the contract, however, it’s flexible and can be adjusted to respond to change orders or delays as they occur.
Milestone-Based Payments
This also outlines payments over time, but that time is defined by specific stages of the project. As one project phase ends, which is a milestone on the schedule, the payment is released. Or it could be whatever is defined as a milestone. When that work is done, the contractor is paid. This is found in larger construction projects and the pay acts as payment for the completion of smaller projects within the larger one.
Completion-Based Payments
This progress payment isn’t held until the end of the project but is paid off at regular intervals. These intervals are based on the project’s progress, such as a percentage. It can be hard to determine the percentage of completion, therefore, this type of construction payment schedule should only be used when projects are clear with itemized budgets and schedules of value.
Retainage
A portion of the payment that the project owner or general contractor withholds until the project reaches substantial completion. This percentage of the total project payment is removed from each of the progressive payments.
Construction Payment Schedule Sample
To better understand a construction payment schedule, it helps to have an example. Let’s take a contractor working on building a deck for a homeowner’s house. The general contractor and the property owner have agreed on a deposit and final payment of $4,000.
Therefore, the contractor can ask for $2,000 upfront to pull permits for the job and purchase materials. The project owner will then pay the contractor the balance once the job is completed. This will cover the rest of the materials, the contractor’s profit and any labor costs the contractor paid to subcontractors.
The benefit, as noted, is that the contractor doesn’t have to pay for the entire job and the homeowner has insurance that the job will be done to their satisfaction. The balance of the payment is the incentive for the contractor and the insurance for the homeowner.
Contractor Payment Schedule Template
Use this free construction payment schedule template to streamline payroll. It has everything necessary to capture the payment process and track payment throughout the life cycle of the construction project. There’s a top section for general project information, such as its name, project owner, general contractor and subcontractors.
Underneath that is a grid with columns for invoice numbers, work description, who is being paid, on what date, whether it’s autopay or not, the amount and even the retainage. Following that is a payment status. This template is divided into months, but the template is fully customizable so users can change it to quarterly, milestones or however the payment will be processed.
Benefits of Using a Contractor Payment Schedule In Construction
Agreeing on a payment structure before work starts on a project is always advisable. The project owner and the contractor must have a legally binding contract that they both sign to ensure that everyone knows what’s expected and how it will be compensated for.
Using a contractor payment schedule is but one part of the larger contract, this one dealing with money that will be paid and how it will be delivered. A construction payment schedule ensures that there will be a timely and structured monetary exchange. It outlines when and how payments will be made.
More Construction Project Management Templates
Once the contract is signed and all parties have agreed on a contractor payment schedule, then the work begins. But before ground can be broken, a detailed budget and schedule will be created. Construction project templates can help facilitate this process. Below are a few free construction project management templates available for download.
Construction Budget Template
The more accurate the construction budget, the safer a contractor’s profit margin. To ensure that your cost forecast is as close as possible, use this free construction budget template for Excel. It allows users to determine labor, materials and miscellaneous costs for every task. It even helps track actual costs against the planned ones to help stay on budget.
Construction Schedule Template
To stay on budget requires an understanding of the schedule. The free construction schedule template takes users into the ProjectManager software where Gantt charts can organize tasks and deliverables, allocate assets, plot milestones, filter for the critical path, link dependencies and more to stay on track and deliver the project on time.
Construction Estimate Template
The ability to forecast project costs is critical to delivering a project within budget while keeping a healthy profit margin for the contractor. Use this free construction estimate template for Excel to come up with accurate estimates by breaking the project into phases and determining the labor and material costs for each.
How ProjectManager Helps Manage Construction Payment Schedules
While templates can be useful when planning a construction project, their limitations become obvious once the work begins. Templates are static documents. They take time to update manually and they’re not conducive to collaboration. That’s why general contractors use construction project management software to plan, manage and track their projects.
ProjectManager is award-winning construction project management software with robust Gantt charts to create schedules and budgets, allocate resources and more. There are also multiple project views to track construction payment schedules.
Map Construction Payment Schedule on Kanban Boards
To ensure that payments are delivered as agreed upon, map out that process on customizable kanban boards. Each column can be titled for the month, quarter, milestone or whatever the frequency of payment is. Attach the contract to the kanban card, use a tag to distinguish it from other task cards and set up recurring tasks as reminders for when a payment is due. As payments are received, move the kanban card from one column to the next to track your contractor payment schedule.
Monitor Project Costs With Timesheets and Real-Time Dashboards
Keep an eye on labor and other resource costs to ensure that the budget is being kept to and not eating into the profit margin. There are several ways to do this. One, secure timesheets capture labor costs and provide transparency into how far the team is on completing their tasks and the costs associated with that work. For a high-level overview, real-time dashboards constantly capture live data and display it on easy-to-read graphs and charts that show costs, time and more key performance metrics (KPIs).
Related Contractor Management Content
There’s a lot more to contractor management than construction payment schedules. ProjectManager isn’t only software, but the online hub for all things project management, with weekly blogs, tutorial videos, and, of course, free templates. Here are a few of the contractor management-related pieces of content that we’ve recently published.
Contractor Management: A Key to Successful Projects
What Is a Subcontractor? Understanding Subcontractor Management
Construction Cost Management: A Quick Guide
ProjectManager is online construction management software that connects teams whether they’re in the office, at the job site or anywhere in between. They can share files, comment at the task level and stay updated with email and in-app notifications. Get started with ProjectManager today for free.
建筑项目通常是漫长而复杂的工作。它们也很贵。付款在合同流程中确定,包括承包商付款时间表。
承包商付款计划中包括的内容和不同的类型是项目业主和总承包商之间专业关系的重要组成部分。让我们看看施工付款时间表,以充分了解它的好处。
什么是承包商付款时间表?
承包商付款时间表是建筑项目中承包商的付款方式。承包商一次性获得工作报酬是不寻常的。因此,施工付款时间表显示了他们在项目生命周期内如何获得工作报酬。
该承包商付款时间表在施工合同中定义,并在整个项目时间表中定期设定付款。这为承包商设定了明确的付款条件,降低了他们收到逾期付款甚至根本没有付款的风险。施工付款时间表可以看作是一种保险。
项目业主和总承包商之间合同谈判的一个目标是起草一份互利的承包商付款时间表,该时间表符合项目要求并保护所有相关方。因为施工付款时间表与项目时间表相关联,所以它应该是任何项目计划的一部分。
通过项目管理软件,可以无缝地将施工付款时间表与项目执行相结合。ProjectManager是屡获殊荣的项目和投资组合管理软件,具有强大的甘特图,可以实时计划、管理和跟踪时间表。
总承包商不仅可以将承包商付款时间表包括在他们的项目时间表中,而且他们可以将所有四种类型的任务依赖关系联系起来,以避免降低利润率的代价高昂的延迟。他们还可以筛选关键路径,以确定保持项目按计划进行的基本任务,并设置基线来实时跟踪计划和实际工作。立即免费开始使用ProjectManager。
承包商付款计划应包括哪些内容?
施工付款时间表是施工项目合同的一部分。但除此之外,承包商付款时间表中包含的内容可能会有所不同。但是,大多数通常包括以下内容。
项目信息:项目的名称、位置和项目描述总是在合同中,包括开始日期和预期持续时间。
相关人员姓名:合同列出了受合同约束的承包商、项目业主和分包商的姓名。
工作范围:包括合同中涵盖的任务、材料和服务。
付款:详细说明应付给所有相关方的付款以及这些付款的到期日。
频率:定义付款的时间,如到期日或必须付款的时间间隔。这通常与里程碑、特定任务的完成相关联,或者可以安排为每月、每两周等。
付款方式:付款将如何传播,如通过支票、电子转账等。
条款:定义付款条款,如任何罚款或发票要求。
解决争议的方法:概述与支付相关的争议的流程,如调解或仲裁程序。
实际付款:记下要支付的金额和必须支付的日期。
签名:必须有所有相关方的签名行,另一行表示合同签署日期。
施工付款时间表的类型
建筑合同的所有部分都很重要。承包商付款时间表是总承包商和项目经理需要确定的最重要的部分之一。它不仅定义了付款,而且可以通过避免争议和保持在预算内来帮助保持进度。
合同类型会影响施工付款时间表。因此,了解各种类型的施工付款时间表非常重要。各有利弊。让我们回顾一下六种最常见的建筑商付款计划。
定金及最后付款
这种类型的承包商付款时间表是小型建筑项目的理想选择。押金包括材料、许可证,有时还包括劳动力。最后一笔付款涉及利润和费用。这样,总承包商就不必支付所有的钱,业主也有余额来确保工作的完成令他们满意。
分期付款
大中型建筑项目需要不同类型的承包商付款时间表。分期付款是指在项目执行期间的特定时间付款。分期付款的发放方式有很多种。最后四种类型的施工付款时间表解释了不同类型的进度付款。
基于时间的付款
付款被平均分配。这通常是每月一次,并设定付款日期。该付款时间表在合同中有明确的定义,但是,它很灵活,可以根据变更单或延迟的发生进行调整。
基于里程碑的付款
这也概述了一段时间内的付款,但该时间是由项目的特定阶段定义的。当一个项目阶段结束时,这是时间表上的一个里程碑,付款被释放。或者它可以是任何被定义为里程碑的东西。当这项工作完成后,承包商得到报酬。这是在较大的建设项目中发现的,工资作为在较大项目中完成较小项目的报酬。
以完成为基础的付款
这种进度付款不会保留到项目结束,但会定期付清。这些间隔基于项目的进度,如百分比。很难确定完工的百分比,因此,只有当项目有明确的分项预算和价值表时,才应使用这种类型的施工付款计划。
保留费
项目业主或总承包商在项目基本完工前扣留的一部分付款。项目总付款的这一百分比从每笔累进付款中扣除。
施工付款计划示例
为了更好地理解施工付款时间表,举个例子会有所帮助。让我们以一个承包商为例,他正在为一个房主的房子建造一个平台。总承包商和业主已商定定金和最后付款4000美元。
因此,承包商可以要求预付2000美元,以获得工作许可和购买材料。一旦工作完成,项目业主将向承包商支付余额。这将包括其余的材料,承包商的利润和承包商支付给分包商的任何人工成本。
如上所述,好处是承包商不必支付整个工作,房主有保险,工作会做得令他们满意。付款的余额是对承包商的激励,也是对房主的保险。
承包商付款计划模板
使用这个免费的施工付款时间表模板来简化工资单。它拥有捕捉付款流程和在建筑项目的整个生命周期中跟踪付款所需的一切。顶部是一般项目信息,如名称、项目所有者、总承包商和分包商。
下面是一个网格,上面有发票号码、工作描述、谁被支付、日期、是否自动转账、金额甚至保留金。接下来是付款状态。该模板分为几个月,但该模板是完全可定制的,因此用户可以将其更改为季度,里程碑或任何付款将被处理。
在施工中使用承包商付款时间表的好处
在项目开始前就付款结构达成一致总是明智的。项目业主和承包商必须签署一份具有法律约束力的合同,以确保每个人都知道预期的是什么以及如何补偿。
使用承包商付款时间表只是大合同的一部分,这一个处理将支付的钱和它将如何交付。施工付款时间表确保了及时和结构化的货币兑换。它概述了付款的时间和方式。
更多施工项目管理模板
一旦合同签署,各方就承包商付款时间表达成一致,工作就开始了。但是在破土动工之前,将会有一个详细的预算和时间表。建筑项目模板有助于促进这一过程。下面是几个免费的建筑项目管理模板可供下载。
施工预算模板
建筑预算越准确,承包商的利润率就越安全。为了确保您的成本预测尽可能接近,请使用这个免费的Excel施工预算模板。它允许用户确定每项任务的劳动力、材料和杂项成本。它甚至有助于根据计划成本跟踪实际成本,以帮助保持在预算范围内。
施工进度模板
保持预算需要了解时间表。免费的施工进度模板将用户带入ProjectManager软件,甘特图可以组织任务和交付成果、分配资产、绘制里程碑、过滤关键路径、链接依赖关系等,以保持进度并按时交付项目。
施工估算模板
预测项目成本的能力对于在预算内交付项目,同时为承包商保持健康的利润率至关重要。使用这个免费的Excel施工估算模板,通过将项目分成几个阶段并确定每个阶段的劳动力和材料成本来得出准确的估算。
ProjectManager如何帮助管理施工付款计划
虽然模板在规划建筑项目时很有用,但一旦工作开始,它们的局限性就变得很明显。模板是静态文档。手动更新需要时间,而且不利于协作。这就是为什么总承包商使用建筑项目管理软件来计划、管理和跟踪他们的项目。
ProjectManager是一款屡获殊荣的建筑项目管理软件,具有强大的甘特图,可用于创建时间表和预算、分配资源等。还有多个项目视图来跟踪施工付款时间表。
在看板上绘制施工付款时间表
为了确保付款按约定交付,请在可定制的看板上规划该流程。每一列的标题可以是月份、季度、里程碑或任何支付频率。将合同附加到看板卡上,使用标签将其与其他任务卡区分开来,并设置重复任务作为付款到期时的提醒。收到付款后,将看板卡从一列移到下一列,以跟踪您的承包商付款时间表。
使用时间表和实时仪表板监控项目成本
密切关注劳动力和其他资源成本,以确保预算保持不变,不会侵蚀利润率。有几种方法可以做到这一点。第一,安全的时间表记录劳动力成本,并提供团队完成任务的透明度以及与该工作相关的成本。对于高层次的概述,实时仪表板不断捕获实时数据,并将其显示在易于阅读的图形和图表上,显示成本、时间和更多关键绩效指标(KPI)。
承包商相关管理内容
承包商管理不仅仅是施工付款时间表。ProjectManager不仅仅是软件,它还是所有项目管理的在线中心,有每周博客、教程视频,当然还有免费模板。以下是我们最近发布的一些与承包商管理相关的内容。
承包商管理:项目成功的关键
什么是分包商?了解分包商管理
工程造价管理快速指南
ProjectManager是一款在线施工管理软件,无论团队是在办公室、工作现场还是在两者之间的任何地方,它都可以将团队联系起来。他们可以共享文件,在任务级别发表评论,并通过电子邮件和应用内通知保持更新。立即免费开始使用ProjectManager。
以上中文文本为机器翻译,存在不同程度偏差和错误,请理解并参考英文原文阅读。
阅读原文