Apply a retainer to an invoice

Why use it

A retainer sitting unapplied is money your client has paid but cannot see working. Applying it to an invoice uses those funds for real work, reduces what the client owes, and keeps your books clear about what is still held.

When to use it

• The first invoices of a project, drawing down the deposit.
• Closing out a project, using the last of the retainer on the final invoice.

Before you start

• You need to be the owner or an admin.
• The invoice must be a draft with an outstanding balance.
• The project needs an active retainer with money left.

Steps

1. 1

Try it: guided demo

1. 1Apply retainer

1. Open a draft invoice on a project with an active retainer, for example Lombard Street Loft.
2. Choose Apply retainer. It shows only on drafts whose project has a retainer with a balance.
3. Enter the Amount to apply, here $5,000 of the $10,000.00 available.
4. Choose Apply with the amount, here Apply $5,000.00. Your client is only charged what is left.

What happens next

• The invoice shows the retainer applied, and your client is charged only the remaining balance when you send it.
• An invoice fully covered by the retainer is marked paid.
• The retainer's Applied and Remaining amounts update, and its Ledger records the application. When the balance reaches zero, the retainer shows Closed.

Limits