Payment applications slow down because the paperwork intimidates people. The AIA G702 and G703 forms are not as complicated as they look once you know what each box is actually asking for. Read them in the right order and catch the math before someone else does.
Know the Pairing
The G702 is the summary. The G703 is the backup that shows the math behind each line item. You cannot read one without the other and expect the full picture. Think of the G702 as the invoice total and the G703 as the itemized receipt.
On most jobs, the owner or architect sees the G702 first. They flip to the G703 when they want to verify where your numbers came from. If your continuation sheet is sloppy, your summary gets rejected. That means delay.
GCs often hand these forms to a project admin who did not write the estimate. That handoff is where details get lost. Make sure whoever prepares the app talks to whoever runs the job.
Reading the G702
Start at the top. The header lists the project, your application number, and the period. Make sure these match your records exactly. A mismatched application number will bounce back even if the math is perfect.
Down the left side you will see the basic accounting. Scheduled value is the original contract number plus any approved change orders. The next block shows work completed from previous payments and the work completed this period. Add those together for total completed to date.
Then comes retainage. Retainage is held back based on the total completed, not just this period's bill. Check that the withheld percentage matches your contract. If the contract says ten percent, the form should reflect ten percent of the total completed and stored materials.
The certified amount is what the architect signs off on. That number should match your application unless there is a discrepancy noted. If they certify less, you need a written explanation before you can fix it.
The bottom line is the amount currently due. That is your payment due now, minus previous payments, minus retainage. If that final number feels off, do not sign it. Trace it back to the G703.
Decoding the G703 Line by Line
The continuation sheet breaks the job into scheduled values, usually matching your estimate divisions. Each row should represent a chunk of work with a dollar value assigned before you ever broke ground.
Column A is the scheduled value. That number should not move unless a change order has been formally approved and added. Column B and Column C split work completed into previous applications and this period. Added together they equal Column D, total completed to date.
Column E is for materials stored on site but not yet installed. This is money you are owed for product sitting on the job. Do not inflate this. The architect can reject the application if the materials are not actually there or if the documentation is thin.
Column F is the total completed and stored to date. Multiply that by your retainage percentage and you get Column G. Column H is the balance to finish. That should shrink every period.
Some contractors use a separate spreadsheet and transcribe the results onto the AIA form. That transcription step is where decimal points wander. Always reconcile your source sheet to the official form before submission.
If the balance to finish grows instead of shrinks, you entered something backwards.
The Common Traps
- Double billing. This happens when a line item from a previous period gets carried into the current period by mistake. Compare your new G703 against the last one item by item. The previous applications column should match the old total exactly.
- Missing change orders. If you bill against new scope but never updated the G703 scheduled value total, your percentages go wrong and the architect flags it.
- Fuzzy stored materials. You need to prove the product is on site or in a bonded warehouse. No proof, no pay. Keep delivery tickets and photos organized so you can back up Column E when asked.
- Mixed retainage rates. Owners sometimes set different retainage for labor and materials. Your contract language controls, not the form. Read the fine print before you assume the withholding is uniform.
Build Your Own Check Habit
Before anyone else sees the forms, run three quick checks. First, confirm the application number and period date are correct. Second, verify that every line on the G703 adds across horizontally and vertically. Third, make sure the G703 grand total matches the scheduled value on the G702.
If you handle these forms monthly, build a simple tracker for each job. Note what you billed last time, what retainage is held, and what change orders are pending. When the next round comes, you are not starting from memory.
Speed matters in the field, but five minutes of verification saves two weeks of waiting for a reissued check. Treat the payment app like a change order. Get it right the first time.