Definition

Progress tracking and Billing follow the actual work done at the construction or project site.  The system links on-site work updates to financial entries, ensuring that billing accurately reflects the actual progress.

Progress tracking refers to monitoring the actual work completed on-site. This is typically captured in a document called a progress report, which reflects the percentage of completion for different tasks.

Based on this recorded progress, the team generates billing documents such as:

• Payment Applications
• Payment Certificates
• Progressive Invoices

Progressive Invoice

It is a bill for the portion of work completed in a project so far, after adjusting for advance payments and retention.

In FirstBit, a progressive invoice is built through a series of linked documents-

• Project Progress Report - captures the percentage of work completed on-site.
• Payment Application Issued - Drafts the billing claim based on reported progress.
• Payment Certificate Received - Approves and certifies the amount to be invoiced.
• Progressive Invoice - Final invoice issued, linked to the certified amount with advances deducted.
• Credit Note - Used to adjust or correct previous invoices.
• Advance Invoice- Issued to request upfront payment before work begins.
• Payment Received- Records client payment and marks it for offsetting.

Noted: The system automatically or manually deducts advance payments from progressive invoices to bill only the net payable amount.

Explain  about retention,  VAT, advance tracking included in it.

Received.