Progress Payment Requests

Progress payments are payments made based on the cost incurred by the contractor or vendor as work progresses under a contract. The Progress Payment Request allows you to invoice the customer based on the costs while installment or delivery cannot be invoiced. This invoicing aims to improve the cash flow for the contractor.

Progress payments are applicable only for fixed price contracts, i.e., installment or delivery-based contracts. Progress payment invoices are sent to the customer based on an agreed billing cycle and settled using the installment or delivery-based invoices. Invoicing can differ for progress payment requests if:
  • The related invoices are installment or delivery-based and are settled at agreed intervals.
  • The invoices include advance payments.
Note: 
  • This method is specific for the US government and results in a specific invoice format SF1443. The application allows the user to print a US specific invoice, Standard Form 1443 (SF1443) Contractors' Request for Progress Payment. To print both these standard forms, the Infor Operational Reporting functionality is required. The SF form 1443 must also specify the unsettled advance amount.
  • The holdback functionality is not applicable for progress payment requests.
  • Progress payment requests are not included in the revenue analysis.
  • The revenues for the requests are registered in the Progress Payment Request, in the Revenue Transactions (tpppc3505m000) session with theRevenue Type field set to Progress Payment Request.
  • When generating the balances for interim results, progress payment requests are included to calculate the Billed to Customer amount.
  • Progress payment requests are posted using the Integration Document Type, Project Revenue/Revenue Analysis.
  • When progress payment requests are settled using installments or deliverables, a reverse entry is generated in Financials.