How Much Is 10% Retainage on a $1 Million Contract?
Retainage held at 10%
$100,000.00
10% retainage, shown at 100% completion so the figure is the full amount held by the end of the job.
How that number is worked out
These are the figures this page was built with and every line the calculator produces from them. Change anything above and all of it moves.
- Contract amount1000000 $
- Retainage10 %
- Work completed to date100 %
- Already paid to you0 $
Payable on this application$900,000.00
| Contract amount | $1,000,000.00 |
|---|---|
| Work completed | 100% |
| Earned to date | $1,000,000.00 |
| Retainage held at 10% | $100,000.00 |
| Less already paid | $0.00 |
| Due on this application | $900,000.00 |
| Retainage held at completion | $100,000.00chase this at closeout |
Work completed compared
Retainage accumulates as the work does, so each progress application leaves a little more of your own money behind.
| Work completed | Payable on this application | Retainage held at 10% | Due on this application |
|---|---|---|---|
| 25% | $225,000.00 | $25,000.00 | $225,000.00 |
| 50% | $450,000.00 | $50,000.00 | $450,000.00 |
| 75% | $675,000.00 | $75,000.00 | $675,000.00 |
| 100% | $900,000.00 | $100,000.00 | $900,000.00 |
What else matters here
A million dollar contract at 10 percent holds $100,000 and pays $900,000 through progress applications.
At this level retainage receivable is revenue you have recognized and cash you do not have. It is usually the last money on the job and the first thing forgotten at closeout.
What this calculator assumes
- Retainage is money you have earned that is held back until the job closes out. It is not a discount and it is not a deposit.
- Most states cap retainage on public work, commonly at 5 or 10 percent, and several require it to be released or reduced at substantial completion. Private contracts are freer and often worse.
- Retainage is usually the last money a contractor sees and the first thing forgotten at closeout. Track it separately from the invoice balance.
Questions people ask
How much is 10 percent retainage on a $1 million contract?
$100,000 held by completion, with $900,000 paid across the progress applications.
Is there a limit on how much retainage can be held?
On public work, usually yes. Most states cap retainage on public projects, commonly at 5 percent, and many require release or a step down at substantial completion. Private contracts are freer and are often worse.
Why does retainage get forgotten?
Because it is usually the last money on a job and the first thing forgotten at closeout. Track the retainage balance separately from the invoice balance.
The retainage calculator takes any dimensions you like and hands back the same list.