Retention is an amount held back from a subcontractor's progress claim until the work is finished or defects are fixed.
Before you start
- Retainage Support feature
The MYOB Acumatica way
Where to find it: Bills and Adjustments (AP301000) with retainage; Release AP Retainage (AP510000)
- Turn on the Retainage Support feature (Enable/Disable Features, CS100000).
- Set the default retainage settings in Accounts Payable. On the bill, apply retainage so part of each line is held.
- To pay the held amount later, open the bill on Bills and Adjustments, click Release Retainage on the More menu (under Processing), check Retainage to Release and save. The system creates a retainage bill.
- A negative Retainage to Release creates a retainage debit adjustment.
Limits in MYOB Acumatica
- The Retainage Support feature must be on.
- Retainage can be tracked by document line.
Example in MYOB Acumatica
Example Formwork Pty Ltd sends a progress claim of $20,000 before GST. The default retainage is 10%.
| Line | Amount | Tagged to |
|---|---|---|
| Progress claim paid now | $18,000.00 | Paid with the bill |
| Retainage held at 10% | $2,000.00 | Held until Release Retainage |
Pay $18,000 now. When the contract allows, run Release Retainage for the $2,000 and the system creates a retainage bill.
Common mistakes
- Looking for retainage settings when the Retainage Support feature is not on.
- Paying the bill and forgetting the held amount, which waits until Release Retainage is run.
More help
- How to record retention on a subcontractor vendor invoice in Sage 300
- How to record retention on a subcontractor bill in Sage Intacct
- How to match a bill to a purchase order in MYOB Acumatica
- How to job cost bill records in MYOB Acumatica
- How to report contractor payments for TPAR from MYOB Acumatica
- How to record retention on a subcontractor bill (any system)
- All MYOB Acumatica how-to guides
- Pulsify setup guides
Sources
Last checked 2026-10-19. Confidence: confirmed.
Common questions
How do I turn on retainage?
Turn on the Retainage Support feature in Enable/Disable Features (CS100000), then set the default retainage settings in Accounts Payable.
How do I pay the held amount later?
Open the bill on Bills and Adjustments, click Release Retainage on the More menu (under Processing), check Retainage to Release and save. The system creates a retainage bill.
What if Retainage to Release is negative?
A negative amount creates a retainage debit adjustment.
Does Pulsify track retention?
No. Track retention in your accounting system or a schedule.
Want this done for you?
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