Available in Sage 50 Quantum Accounting.

How to Set Up Sage 50 to Handle Retainage

Setting up Sage 50 to handle retainage is easy and can be accomplished in three steps.

1. Create General Ledger accounts for Accounts Receivable Retainage and Accounts Payable Retainage.
1. Select Maintain, Chart of Accounts. This will open the Maintain Chart of Accounts window.
2. Enter an appropriate Account ID and Account Description.
3. Select the appropriate Account Type, either Receivable Retainage or Payable Retainage.
4. Save the new accounts.

Warning! You must use these special Account Types to have the Job Retainage report properly track retainage.

2. Enter the correct retainage General Ledger accounts in Job Defaults.
1. Select Maintain, Default Information, Jobs.
2. Select the Billing & Retainage tab.
3. Select or enter the appropriate accounts.
4. You may also enter a company-wide default Retainage % here.
5. Click OK..
3. Enter the appropriate percentage for retainage for each job.
1. Select Maintain, Job Costs, Jobs to open the Maintain Jobs window.
2. Select the job record
3. Enter the appropriate percentage in the Retainage Percent field. It will default to the value set in Job Defaults, if any.
4. Save the record.

Once you have set up these fields, Sage 50 will automatically calculate the correct amounts for retainage on your customer invoices, based on each job, and assign these amounts to the correct general ledger account.