What it is
Retainage ties up cash on every job, and the surety looks at bonded work on hand before it extends more capacity. Auditors test both: the retainage balances against pay applications and contract terms, and the backlog schedule that goes to the surety and the bank. This workbook keeps the two views together.
The Retainage tab holds billings, the retainage rate, amounts withheld and collected, retainage held from subcontractors, and the aging from substantial completion. The Bonding tab compares bonded work on hand with the single-project and aggregate limits you enter.
When to use it
- At year end, to support the retainage receivable and payable balances and their classification.
- Before sending a work-on-hand schedule to a surety or lender.
- When closeout has stalled on a job and the receivable is aging past completion.
What’s inside
- Retainage tab: 40 jobs with receivable, payable, aging bucket and a recomputation of retainage withheld
- Flags for recomputation differences, aged balances and release dates already passed
- Aging summary and a tie of receivable and payable to the ledger
- Bonding tab: work on hand by bonded job, single-project flag, remaining aggregate capacity and utilization
Standard cited
This template follows ASC 606 / ASC 910. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
How is retainage presented?
Retainage receivable is shown separately from other receivables and retainage payable separately from other payables, with the amounts expected to be collected or paid after one year disclosed. The schedule gives the balances and aging that support both.
Why recompute retainage from billings?
Pay applications are where retainage errors start: a wrong rate, stored materials held back at a different rate, or a step-down that was never applied. The recomputation shows the difference by job so the audit team can pull the pay application.
Does the workbook decide surety capacity?
No. Capacity is the surety’s decision. The Bonding tab gives management, the surety and the auditor one view of bonded work on hand against the limits in the surety’s current letter.
Related templates
- Construction WIP Schedule (Over / Under Billings)
- Audit Program: Construction Contractor
- Construction Estimate at Completion and Fade Analysis
- Construction Change Order and Claims Log
Last updated 11/05/2026. All free templates.