Hey Contractors How To Fill Out Aia Pay Apps - Part 2
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How to Fill Out AIA Pay Applications: Part 2
Introduction
In Part 1, we explored how to complete page 1 of the AIA pay application (form G702). Now, let’s tackle page 2 (form G703).
AIA Pay Application Page 2
Page 2 is vital for General Contractors to monitor your billing, often requiring you to break your pay request into several line items. If not specified, use as few as possible. However, comply with any requests for more detailed breakdowns.
Numbering Your Applications
Start numbering your applications from "1," and increase sequentially. For revisions, append a letter to the original number. For instance, revising application 5 would become 5R.
Column A - Item No.
Number your line items as you see fit. Many start with "1," while others use specification sections or drawing numbers.
Column B - Description of Work
Provide a clear description, such as "underground sanitary" or "first floor concrete slabs." Match large scopes of work with major estimate activities. Add change orders as separate line items once approved.
Column C - Scheduled Value
Assign a dollar value to each line. Ensure the total equals your current contract sum found on line 3 of page 1. Double-check before submission. For example, assume $60,000 for the first floor slab.
Column D - Work Completed from Previous Applications
Document the total dollar amount requested for this item through previous applications, including materials now in place. Do not include work completed this period or newly stored materials.
Column E - Work Completed This Period
Report new work completed this period. Exclude installed materials already paid under Stored Materials. Include all labor, equipment, and markup for placement of previous stored materials.
Column F - Materials Presently Stored
Enter the total value of materials stored but not yet installed. These materials must typically be on site or in a bonded, secure facility.
Column G - Total Completed and Stored to Date
Add columns D, E, and F for this total. This represents the total work and materials to date.
Column H - Balance to Finish
Subtract the Total Completed and Stored to Date from the Scheduled Value. This is the remaining balance to complete the project.
Column I - Retainage (held)
Calculate retainage, typically 10%, based on the Total Completed and Stored to Date.
Final Steps
Finish by totaling each column and entering the value on the Grand Total line at the bottom.
We’ve completed the pay application process! Now you have a comprehensive understanding of how to fill out both pages of the AIA pay application.
You can find the original non-AI version of this article here: Hey Contractors How To Fill Out Aia Pay Apps - Part 2.
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