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Procore

Create a Subcontractor Invoice on Behalf of an Invoice Contact

Objective

To create a downstream invoice as an invoice administrator on behalf of an invoice contact

Background

In Procore, there are two (2) ways for an invoice administrator to create a downstream invoice for a commitment contract.

  • Create an Invoice on Behalf of an Invoice Contact
    When you do NOT want to grant your collaborator's invoice contact(s) access permissions to create their own invoices in Procore, use the steps below. With this method, you will enter the downstream invoice data into Procore on behalf of your collaborators. In this context, a collaborator is the person or business that you contracted to perform work on your project. 
  • Send an 'Invite to Bill' to an Invoice Contact
    When you want to invite your collaborator's invoice contacts to submit their own invoice in Procore, follow the steps in Send an 'Invite to Bill' to an Invoice Contact instead of the steps below. If you are the recipient of an 'Invite to Bill,' you can then follow the steps in Submit a New Invoice as an Invoice Contact. 
Examples

In Procore, downstream invoices that bill against your project's commitment contracts. Below are some examples of downstream invoice relationships:

  • If your project is using Procore's default dictionary for general contractors, you would create a downstream invoice in Procore on behalf of the subcontractor who performed work for your project. In Procore, this is called a subcontractor invoice. 
  • If your project is using Procore's Owners dictionary, you would create a downstream invoice in Procore on behalf of the general contractor who performed work for your project. In Procore, this is called a contractor invoice. 
  • If your project is using Procore's Specialty Contractors dictionary, you would create a downstream invoice in Procore on behalf of a subcontractor who performed work for your project. In Procore, this is called a subcontractor invoice. 

To learn about the available dictionaries in Procore, see What dictionaries and languages are available in the Procore web application?

Things to Consider

  • Required User Permissions:
    • 'Admin' level permissions on the project's Commitments tool. 
       Notes
      • Access permissions to the Invoicing & Progress Billings tools are governed by the permissions set on the Commitments and/or Client Contracts, Funding, or Prime Contracts tool. Procore tool names vary, depending on the language or point-of-view dictionary configured in Procore. See What dictionaries and languages are available in the Procore web application?
      • If you are a collaborator (for example, an invoice contact employed by a company performing work on a project managed in Procore, your ability to perform invoice-related tasks is determined by the Procore company account holder. Settings that the account holder may choose to provide to you include:
        • A Procore User account.
        • Access permissions to the project's Commitments and/or Client Contracts, Funding, or Prime Contracts tool.
        • Membership on the 'Private' list of a specific contract or funding
        • Designated as an 'Invoice Contact' on the contract or funding.
  • Additional Information:
    • You can create invoices for all commitment contracts.  
    • If you are the invoice contact for the 'Contract Company' on a commitment contract, you have these options for submitting an invoice:
    • If there are multiple invoices for a single billing period, you can only edit the billed amounts on the most recently created invoice.
    • If the contractor will create a payment schedule once the invoice is approved, enter the amounts for the work you are claiming this period in the 'Subcontractor Claimed This Period' or 'Contractor Claimed This Period' column of the invoice detail. In order for this column to appear, the payment schedule feature must be enabled in the Invoicing tool’s configuration settings. See Configure Settings: Invoicing.
    • If you are an invoice administrator and want to edit the 'Schedule of Values' card later, the invoice must be in the 'Draft' or 'Revise and Resubmit' status. See What are the default statuses for Procore invoices? 

Prerequisites

Steps

  1. Open the New Invoice Page
  2. Update the General Information Card
  3. Update the Schedule of Values Card
  4. Set and Release Retainage on SOV Line Items
  5. Add Attachments
  6. Save the Invoice
  7. Optional: Send an Invoice with DocuSign© 

Open the New Invoice Page

The first step is to open the 'New Invoice' page as follows:

  1. Navigate to the project's Commitments tool.
  2. In the Contracts table, locate the contract that you want to create the invoice for.
     Note
    To collect signatures using the Procore + DocuSign© integration, click Edit to verify that there is a mark in the Sign with Document checkbox under the 'General Information' section of the commitment contract. If you add a mark, click Save. Otherwise, click Cancel. The DocuSign© integration must be enabled (see Enable or Disable the DocuSign® Integration on a Procore Project) and you will also need to ensure your DocuSign© account is linked to Procore. To learn more, see Link Your DocuSign® Account to a Procore Project.
  3. Click the Number link to open the contract. 
  4. Click the Create Invoice button. 
  5. Continue with the next step. 

Update the General Information Card

The next step is to update the 'General Information' card as follows:

  1. In the new invoice, add and/or verify the data in the 'General Information' tab:

    general-information-card.png
    • Status
      Select a status for the invoice from the drop-down list. On a new invoice, Procore's default status is 'Draft'. 
       Notes
      • To learn about statuses, see What are the default statuses for Procore invoices?
      • If an invoice is ready to be reviewed by an invoice administrator, remember to change its status to 'Under Review'.
      • After the invoice administrator reviews an invoice, its status can be change to 'Approved' or 'Revise and Resubmit' as needed.
      • Users with 'Standard' permission on the Commitments tool can only edit invoices in the 'Draft' or 'Revise and Resubmit' status. 
    • Optional: Invoice #
      Enter the downstream collaborator's invoice number in the Invoice # box.
       Note
      • Invoice # is NOT a required field, you can leave this field blank.
      • COMING SOON Typically, Procore users use this field to enter a reference number corresponding to the downstream collaborator's invoice number. If you enter an 'Invoice #', it must be unique from all other invoices on the commitment. If you attempt to enter a duplicate number, a RED warning banner appears across the top of the page to remind you to enter a unique number. 
      • Procore does NOT automatically complete the 'Invoice #' entered here on associated upstream invoices. To which fields are automatically completed, see How does Procore automatically complete amounts on an upstream invoice?
    • Billing Period
      Select the date range for the billing period. Procore automatically selects the current billing period by default. 
       Notes
      • Invoice administrators are responsible for creating billing periods. For instructions, see Create Automatic Billing Periods or Create Manual Billing Periods.
      • Users with 'Admin' level permissions on the Commitments tool can select any billing period from the drop-down list.
      • Users with 'Standard' level permissions on the Commitments tool can only select a billing period that does NOT have an invoice associated with it. 
    • Billing Date
      Procore automatically selects the default date defined in the current billing period. This is a required field. 
    • Period Start
      Procore automatically selects the default start date defined in the current billing period. This is a required field. 
    • Period End
      Procore automatically selects the default start date defined in the current billing period. This is a required field. 
       Note
      The 'Billing Period' date in Procore is intended to align with the work being performed on a project so project managers can track and report the affect of invoices on the project's budget. However, if your accounting team defines billing periods differently, it is recommended that you keep the 'Billing Period' entry and then manually enter your unique accounting dates in the 'Billing Date,' 'Period Start,' and 'Period End' fields. 
    • Optional: Payment Date
      Enter the date the payment should be made to the 'Contract Company'. 
    • Optional: Submitted Date
      Enter the date the payment should be submitted to the 'Contract Company'.
    • Overall Comments
      Enter any additional comments for the invoice in this box. 
  2. Continue with the next step. 

Update the Schedule of Values Card

The next step is to update the 'Schedule of Values' card. The data entry fields depend upon the contract's accounting method on the contract. To set the accounting method on the contract, see How do I set the accounting method for a contract or funding?

For Commitments Using the Unit/Quantity Based Accounting Method

Follow these steps when the line item data is using the 'Unit/Quantity Based' accounting method. 

 Important
  • These instructions describe how to update the SOV line items and assume you are using Procore's default column layout. Because you can personalize your column layout, it is important to note the column layout in your environment may be different.
  • To reset a personalize column layout to Procore's default setting at any time, click the vertical ellipsis in any column header and choose Reset Columns from the Overflow menu. 
  • If you are an invoice administrator and want to edit the 'Schedule of Values' card later, the invoice must be in the 'Draft' or 'Revise and Resubmit' status. See What are the default statuses for Procore invoices? 
  1. Scroll down to the 'Schedule of Values' section of the new invoice. 
  2. Click a line item in the 'Schedule of Values' section to select it. 
  3. Review and complete the fields in the following columns for each line item(s) that will be paid for by the invoice:
    • Total Progress %: Enter a percentage amount to represent the total work progress to date. For example, if this is your first invoice and 50% of the work has been installed, enter 50% in this field. This automatically updates the quantity and dollar values in these columns: 'New Quantity', 'Total Completed & Stored To Date', and 'Balance to Finish.'
    • New Quantity: If you would prefer, you can also enter a dollar amount to represent the dollar value of the work progress to date. For example, if you didn't enter 50% in the 'Total Progress %' column, you may want to enter $500.00 in this field to indicate that half the total 'Quantity' from the contract has been installed This automatically updates the percentage amount in the 'Total Progress %' field.  
      Example

      The illustration below shows you how Procore automatically updates column values on a line item when you enter a percentage amount in the 'Total Progress %' column. If you prefer to enter a quantity amount in the 'New Quantity' column, your entry automatically updates the percentage value in the 'Total Progress %' column. Whichever method you choose for your data entry, Procore also automatically calculates the values in the 'Total Completed & Stored to Date' and 'Balance to Finish' columns. 

      sov-unit-quantity-line-item-entry.png

For Commitments Using the Amount Based Accounting Method

Follow these steps when the line item data is using the 'Amount Based' accounting method.

 Important
  • These instructions describe how to update the SOV line items and assume you are using Procore's default column layout. Because you can personalize your column layout, it is important to note the column layout in your environment may be different.
  • To reset a personalize column layout to Procore's default setting at any time, click the vertical ellipsis in any column header and choose Reset Columns from the Overflow menu.
  • If you are an invoice administrator and want to edit the 'Schedule of Values' card later, the invoice must be in the 'Draft' or 'Revise and Resubmit' status. See What are the default statuses for Procore invoices? 
  1. Scroll down to the 'Schedule of Values' section of the new invoice. 
  2. Click a line item in the 'Schedule of Values' section to select it. 
  3. Review and complete the fields in the following columns for each line item(s) that will be paid for by the invoice: 
    • Total Progress %: Enter a percentage amount to represent the total work progress to date. For example, if your previous invoice was at 50% and the progress is now at 75%, enter 75.00 in this field. This automatically updates the dollar value or percentage amount in these columns: 'Work Progress', 'Total Completed & Stored To Date', and 'Balance to Finish.'
    • Work Progress: If you would prefer, you can also enter a dollar amount to represent the dollar value of the work progress to date. For example, if you didn't enter 50% in the 'Total Progress' field, you may want to enter 75.00 in this field. This automatically updates the percentage amount in the 'Total Progress %' field. 
      Example

      The illustration below shows you how Procore automatically updates column values on a line item when you enter a percentage amount in the 'Total Progress %' column. If you prefer to enter a dollar amount in the 'Work Progress' column, your entry automatically updates the percentage value in the 'Total Progress %' column. Whichever method you choose for your data entry, Procore also automatically calculates the values in the 'Total Completed & Stored to Date' and 'Balance to Finish' columns. 

      sov-amount-based-line-item-entry.png

    • New Materials: Enter a dollar amount to represent any new materials stored. This column shows the difference between the 'Materials Stored' on previous invoices. To learn more about billing for stored materials, see How do I bill for stored materials in Procore?
    • Materials Stored: Enter the dollar amount of materials presently stored on the job site or nearby storage facility that were not included in the costs for "Work Completed" (D and E ) columns. Please note that the values entered here will remain in this column on future invoices until it is manually moved to Work Completed. See How do I bill for stored materials in Procore?
    • Total Completed & Stored To Date: This column shows the total dollar amount completed and stored to date. For example, if you have created three (3) invoice, you will notice that the amount in this column is cumulative. 
    • Balance to Finish: This column shows the remaining balance on the contract. 
  4. Optional: If you want to set or release retainage on the SOV line items, continue with the next step. 

Set and Release Retainage on SOV Line Items

If you want to set and release retainage on the line items in the SOV, follow these steps:

  1. Choose from these options to select the line items:
    • To select all of the line items in the SOV, click the box next to the 'Budget Code' label in the SOV table's header.
      OR
    • To select individual line items, click the 'Budget Code' column on the line item to place a checkmark in the box for the desired line items. 
  2. Click the pencil icon above the SOV table to open the 'Edit' pane on the right side of the page. 
    This opens the Edit page on the right side of the SOV table. 
    Example

    In the example illustration below, we have selected all four (4) line item checkboxes. You can then click the pencil icon at the top of the table to open the Edit pane on the right. In this example, we entered 10% to set the 'Work Retainage %' and '5%' to set the 'Materials Retainage %' on the selected line items. When you click the 'Apply' button, Procore sets the retainage amounts on each selected line item.

    sov-edit-retainage-pane.png

  3. In the Edit page, choose from these options:
    • Optional: Work Retainage %: Enter a percentage amount for the work retainage. This represents the retainage percentage being set on the line item for the current billing period. For example, if you want to set 10% retainage on the line item(s), enter 10. 
    • Optional: Materials Retainage: Enter a percentage amount for the material retainage. This represents the retainage percentage being set on the line item for the current billing period. For example, if you want to set 5% retainage on the line item(s), enter 5. 
    • Optional: Retainage Released %:  Enter a percentage amount for the retainage you want to release. This represents the retainage percentage being released this billing period. For example, if you want to set 10% retainage on the line item(s), enter 10. 
  4. Click the Apply button to save the retainage settings on the line item(s). 

Add Attachments

  1. Scroll to the 'Attachments' section. 
  2. Choose from these options:

    admin-view-attachments-section.png
    • Click the Attach Files button. This opens the Attach Files dialog box, where you can upload files from your computer. Click the Attach button when finished. 
      OR
    • Use a drag-and-drop operation to move the files from your computer or network into the 'Attachments area'. 

Save the Invoice

Click the Save button at the bottom of the 'New Invoice' page. 

save-button-admin-invoice.png

Send an Invoice with DocuSign©

Optional: If your project team wants to collect signatures on your invoices using the Procore + DocuSign© integration, click the Send with DocuSign© button at the top of the page. To use this button, the DocuSign© integration must be enabled on the project (see How do I enable the DocuSign® Integration?) and the invoice must be in the Approved, Approved as Noted, or Pending Approval status. To learn more about the DocuSign© integration and preparing envelopes for signature, see DocuSign®.

send-to-docusign.png

 Tip
How do you collect signatures with DocuSign? After the data entry for the item is complete, Procore recommends changing the item's status to 'Out for Signature' before clicking the Send to DocuSign button to launch the DocuSign® application. If you have not previously signed in, you will be prompted to Log In to DocuSign®. Once you are signed in, you can proceed with Prepare a DocuSign® Envelope for Signature. After the signature process is complete, Procore automatically changes the status of the item to 'Approved' and marks the item as 'Executed'. To learn more, see DocuSign®.

 

If you would like to learn more about Procore's invoice management software and how it can help your business, please visit our construction invoice management software product page icon-external-link.png.