Skip to main content
Procore

How do I bill for stored materials in a subcontractor progress claim?

  1. Last updated
  2. Save as PDF
 Phased Release: Modernised Subcontractor Progress Claim Experience
This page details the modernised subcontractor progress claim experience. 
 Note

If you are using the legacy experience for subcontractor progress claims, see How do I bill for stored materials in Procore? instead of the FAQ below.

Answer

Billing for stored materials is a way to progress claim a buyer for part of a contract's value before completing the work. Allowing your subcontractors to bill you for stored materials gives your subcontractors the ability to purchase the materials they need, so they can receive and store those materials on site, so its available when its time to start installing the project work. As work progresses through each billing period, an progress claim contact can reduce the value in the 'Stored Materials' column. When the value in the column reaches zero ($0.00) on a subsequent progress claim, the materials on the line item are installed and work on the item is complete.

To bill for stored materials in a subcontractor progress claim, the progress claim administrator must complete these prerequisites at the contract level:

Common Questions

Below are some answers to other common questions about billing for stored materials:

How do I enable billing separately for stored materials on a progress claim? 

Before creating a subcontractor progress claim in Procore, a progress claim administrator has the option to mark the 'Enable Billing Separately for Stored Materials' check box setting on the contract. This check box resides on the contract's 'Advanced Settings' tab. It provides the progress claim administrator with a way to control how the 'New Materials' column behaves from progress claim to progress claim. Your progress claim contacts do NOT have the ability to change this setting in Procore. 

What are my configuration options when billing separately for stored materials?

If you are a progress claim administrator and have an progress claim contact who will be billing your project team separately for stored materials, you will have the option to enable separate billing for stored materials. To enable the setting, place a checkmark in this box. To disable the setting, remove the checkmark. By default, this setting is turned ON.

enable-billing-checkbox.png

When turned ON, Procore automatically sets the value of the entry in the 'New Materials Stored' column to zero (0.00) on each new progress claim so that the progress claim contact can update the entry to the appropriate value. When an entry is made, Procore automatically updates the 'Materials Presently Stored' column with the same value. 

How do I enter stored materials in a progress claim? 

To learn how to enter stored materials in a progress claim, review this example. 

Example: Billing for Stored Materials on a subcontractor progress claim

First Progress Claim. A progress claim contact creates a subcontractor progress claim for a commitment during a billing period. In a progress claim line item, the value in the 'New Materials Stored' column is always set to $0.00 by default. Since the downstream collaborator received materials on-site during this billing period, the progress claim contact enters $2,000.00 in the New Materials Stored column (see 1 below). This represents the currency amount of the materials received. After inputting the amount, Procore automatically updates these values (see 2 below) on the line item:

  • Total Completed & Stored to Date (%). Procore converts the entry to a percentage value (16%) to show total progress.
  • Materials Presently Stored. Procore updates this column with the amount in the 'New Materials Stored' column ($2,000.00).
  • Total Completed & Stored Date ($). Procore adds the entry to this value ($2,000.00). Note: This column shows the cumulative total of the values in the 'Work Completed This Period', 'New Materials Stored' and 'Materials Presently Stored' columns. 
  • Balance to Finish. This column is only visible to progress claim administrator(s). Procore takes the 'Scheduled Value' amount (which is the contracted amount) and subtracts the 'New Materials Stored' amount. Note: In subsequent progress claims, this column shows the cumulative decline from the contracted amount for the line item. 

first-sub-invoice-sov-new-materials-stored.png

Second Progress Claim. For the next billing period, the progress claim contact needs to submit their next progress claim. In all new progress claims, the value in the New Materials Stored column is always set to $0.00 by default (see 1 below). However, Procore automatically moves the value from the New Materials Stored column on the previous progress claim to the Previous Materials Stored column on the current progress claim (see 1 to 2 below). Before making additional data entry, note that the highlighted values (see 3 below) match the values on the first progress claim (above). 

second-invoice-previous-materials-stored.png

Next, its time to perform some additional data entry on the line item:

For this entry, the downstream collaborator received an additional $2,500.00 in new materials that are now being stored on the worksite (or in a storage facility). The progress claim contact enter $2,500.00 in the New Materials Stored column (see 1 below). After the entry, Procore automatically updates these values (see 2 below). 

  • Total Completed & Stored to Date (%). Procore updates this value from 16% to 36%. 
  • Materials Presently Stored. Procore updates this value from $2,000.00 to $4,500.00.
  • Total Completed & Stored to Date ($). Procore updates this value from $2,000.00 to $4,500.00.
  • Balance to Finish. Procore subtracts the sum of the 'New Materials Stored' value and the 'Previous Material Stored' amount from the 'Scheduled Value' amount. This shows the cumulative decline of the contracted amount. 
    Note: The Work Completed from Previous Application (%) value remains unchanged (see 3 below).

    second-invoice-new-materials-stored.png

Next, half of the new materials stored on the first progress claim were installed on the worksite during the current billing period. To address this, the progress claim contact takes $1,000.00 from the Previous Materials Stored column (see 1 below) and moves that $1,000.00 to the Work Completed this Period column (see 2 below). 

 Note

After changing the entry in the Previous Materials Stored column, your system focus might jump to the Work Retention This Period ($) column. This occurs if the progress claim administrator enables the retention setting on the commitment. To keep to the purpose of billing for stored materials, retention data entry is not included in this example. However, documentation about retention is available: 

second-invoice-previously-stored-to-work-completed.png

After moving the Previous Materials Stored amount to the Work Completed This Period column, Procore considers the entries to calculate these values:

  • Total Completed & Stored to Date (%). Procore keeps the value at 36%. 
  • Materials Presently Stored. Procore keeps the value at $3,500.00.
  • Total Completed & Stored to Date ($). Procore keeps the value at $4,500.00.
  • Balance to Finish. Procore subtracts the sum of the 'New Materials Stored' value and the 'Previous Material Stored' amount from the 'Scheduled Value' amount. This shows the cumulative decline of the contracted amount. 
    Note: The Work Completed from Previous Application (%) value remains unchanged.

Third Progress Claim. For the next billing period, the downstream collaborator has received additional materials have been received, previously stored materials have been installed. The progress claim contact creates a new progress claim.

On the new progress claim:

  • Procore moves the amount from the New Materials Stored column on the previous progress claim and adds it to the amount in Previous Materials Stored column (see 1 below). 

    third-invoice-previous-materials.png
     
  • The progress claim contact takes $3,000.00 from the Previous Materials Stored column and moves it to the Work Completed This Period column (see 1 below) This leaves $500.00 in the Previous Materials Stored column (see 2 below). 

    third-invoice-previous-materials-to-work-completed.png
     
  • The progress claim contact also enters $2,000.00 in the New Materials Stored column (see 1 below). This represents the materials received during this period and are now being stored on-site. As shown below, Procore adds the Materials Presently Stored value to the Previous Materials Stored value (see 2 below) to calculate the Materials Presently Stored value (see 3 below). 

    third-invoice-new-materials-plus-previous-equals-stored.png
     
  • Procore also automatically updates the following values on the line item:
    • Total Completed & Stored to Date (%).  Procore calculates the value at 52%.
    • Total Completed & Stored to Date ($). Procore calculates the value at $6,500.00
    • Balance to Finish. Procore subtracts the sum of the 'New Materials Stored' value and the 'Previous Material Stored' amount from the 'Scheduled Value' amount. This shows the cumulative decline of the contracted amount. 

You can continue creating progress claims and entering new line item entries until the Balance to Finish value on a line item reaches $0.00.