SOP Templates > Site Preparation > Finance & Accounting > Subcontractor Billing Review

Subcontractor Billing Review for Site Preparation

The Subcontractor Billing Review workflow provides site preparation contractors with a dependable method for managing subcontractor payments. It covers reviewing invoices, confirming completed work, checking lien releases, and reconciling charges with budgets. Managers document approvals and process payments promptly to maintain subcontractor trust. By following this workflow, site prep companies reduce disputes, avoid errors, and protect margins. Clients benefit from timely project execution backed by dependable trade partners. Teams gain accountability through structured oversight. With this workflow in place, site preparation contractors can strengthen professionalism, improve efficiency, and deliver projects more reliably with solid financial control.

Receive subcontractor pay application or invoice for current billing period

Confirm billing period dates match project schedule and contract terms

Review scope of work billed against actual progress in the field

Walk the site or consult field supervisor to verify completion

Check billing against subcontractor agreement or schedule of values

Ensure change orders are approved and included if applicable

Confirm retainage is correctly applied based on contract

Verify lien waivers are included from subcontractor and lower-tier vendors

Review for math accuracy and supporting documentation (photos, timesheets, etc.)

Route pay app to project manager or leadership for approval

Record approved amount in project accounting system

Schedule payment based on payment terms and cash flow

Notify subcontractor of approval status or request for revisions

File pay app, approvals, and backup documentation in job records

Receive subcontractor pay application or invoice for current billing period

Confirm billing period dates match project schedule and contract terms

Review scope of work billed against actual progress in the field

Walk the site or consult field supervisor to verify completion

Check billing against subcontractor agreement or schedule of values

Ensure change orders are approved and included if applicable

Confirm retainage is correctly applied based on contract

Verify lien waivers are included from subcontractor and lower-tier vendors

Review for math accuracy and supporting documentation (photos, timesheets, etc.)

Route pay app to project manager or leadership for approval

Record approved amount in project accounting system

Schedule payment based on payment terms and cash flow

Notify subcontractor of approval status or request for revisions

File pay app, approvals, and backup documentation in job records