Configuring Retainage in Sage Intacct
Sage Intacct has added the ability to handle retainage in the Construction edition. Below are the steps to set up Retainage in your system.
Configuring Accounts Receivable Retainage In Sales Intacct
In the Accounts Receivable Module, under Configuration, Enable AR Retainage and choose the correct General Ledger Account and Invoice Number Sequence. We do recommend a dedicated AR Account for Retainage.
Under the Customer, enter the default Retainage Percentage for the Customer.
Under the Transaction Definition in the Order Entry Module, make sure you “Enable Retainage” under this screen.
When you create the Invoice, the default retainage percentage will come over and each line of the invoice will retainage percentage.
Upon running the AR Ledger, you will also see the Retainage Held.
When you are ready to release the AR Retainage, you do this with the Retainage Menu option within the Accounts Receivable Module or Project Module.
When in this screen press the “Add” Button, and selection the Release Date and click “Save and Continue”.
Click on the “Add” Button under the Details area and select the invoices that contained retainage you want released. Make sure to click “Add Selected”.
Upon selection, click on Release Retainage. This will generate an Accounts Receivable Invoice.
Configuring Accounts Payable Retainage in Sales Intacct
In the Accounts Payable Module, under Configuration, Enable AP Retainage and choose the correct General Ledger Account and Bill Number Sequence. We do recommend a dedicated AP Account for Retainage.
Under the Vendor, enter the default Retainage Percentage for the Vendor.
Under the Transaction Definition in the Purchase Order Module, make sure you “Enable Retainage” under this screen.
When you create the Purchase Order and Invoice, the default retainage percentage will come over and each line of the invoice will show the retainage percentage.
Upon running the AP Ledger, you will also see the Retainage Held.
When you are ready to release the AP Retainage, you do this with the Retainage Menu option within the Accounts Payable Module.
When in this screen press the “Add” Button, and selection the Release Date and click “Save and Continue”.
Click on the “Add” Button under the Details area and select the invoices that contained retainage you want released. Make sure to click “Add Selected”.
Upon selection, click on Release Retainage. This will generate an Accounts Payable Bill.
