Retention is an amount held back from a subcontractor's progress claim until the work is finished or defects are fixed.
Before you start
- Sage X3 Financials and Purchasing
- Function and site rights for the screen
The Sage X3 way
Where to find it: Financials > Invoices > Purchase invoices
- Create a retention code in Common data > Common tables > Retention management. Choose retention on invoice or on payment, a calculation base, a rate and a cash account.
- Add the code to the supplier on the Financial tab (Withholding code, field RITCOD).
- On a supplier BP invoice the retention line posts to the cash account. For retention on payment the retained amount shows on the payment entry.
Limits in Sage X3
- This is a withholding at source feature, not a contract retention schedule.
- The payment screen help ties the Withholdings column to the Italian legislation (KIT activity code). Ask your partner whether it applies to you before relying on it.
Common mistakes
- Using withholding at source as a contract retention release schedule.
More help
- How to record retention on a subcontractor supplier invoice in IFS Cloud
- How to record retention on a subcontractor supplier invoice in S/4HANA
- How to match a purchase invoice to a purchase order in Sage X3
- How to job cost purchase invoice records in Sage X3
- How to record retention on a subcontractor bill (any system)
- All Sage X3 how-to guides
- Pulsify setup guides
Sources
Last checked 2026-10-19. Confidence: partial.
Common questions
Does X3 have a retention feature for contractor bills?
It has a withholding at source feature. Set up a retention code that holds back a rate on the invoice or on payment. It is not a contract retention schedule.
How is the code linked to a supplier?
Add the code to the supplier on the Financial tab (Withholding code, field RITCOD).
Where does the retained amount show?
On a supplier BP invoice the retention line posts to the cash account. For retention on payment the retained amount shows on the payment entry.
Does Pulsify track retention?
No. Track retention in your accounting system or a schedule.
Want this done for you?
Book a call to see how Pulsify handles supplier bills in Sage X3.