If you would like to track retention in your accounting system our integration accommodates this.
Our integration diverts the retained amount to an account nominated by you on our platform.
To track retention in the accounting system select Line Item Retention type
Different G/L accounts for Head Contract and Commitment Retention
Typically customers allocate head contract retention to one account ( ie an asset) and commitment retention to another account (ie liability account)
One Single Retention Account
Speak to our team to enable the same G/L account to be available for selection for both head contract and commitment claim retentions if you’d prefer just one single retention account.
Project Specific Retention
You can also set project specific retention if you need to track each projects retention in separate G/L accounts.
Retention and GST treatment
Depending on when you want GST recognised will determine your tax code on the retention G/L accounts nominated (in our example asset and liability accounts)
For example if you want retention deducted from the sales invoice and put to a balance sheet item, and GST claimed when the retention is invoiced/released, you would use a tax code on the retention account.
If you want GST recognised upfront, you would have a non GST tax code on the retention account
