FAQ: Payment Applications

What is a Payment Application?

What is the difference between a Payment Application and an Invoice?

What does a Payment Application in ConstructionOnline include?

What financial data does ConstructionOnline pull from to generate a Payment Application?

Can I attach supporting documentation to a Payment Application?

What are the different statuses a Payment Application can have?

Can I print a Payment Application on AIA forms?

How do I print, email, or export a Payment Application?

What is a Payment Application?

A Payment Application—also referred to as a pay app, application for payment (AFP), draw request, certification for payment (CFP)—is a formal, documented request submitted by a contractor to an owner or general contractor to request payment for work completed during a defined billing period. Rather than sending a simple invoice, contractors submit a structured package that documents progress against the contract, formatted in a way that owners, architects, and lenders are expecting to see.

For a full introduction to Payment Applications and key terminology, visit Overview: What Are Payment Applications?

What is the difference between a Payment Application and an Invoice?

An Invoice is a request for payment for specific items or services rendered.

A Payment Application is a more formal, structured billing document that provides a complete cumulative accounting of the entire project to date—including the original contract sum, Change Orders adjustments, amounts billed in all prior periods, retainage withheld, and the current amount due.

In ConstructionOnline, Invoices are actually one of the data sources that drive a Payment Application. Valid Invoices from the project are included in the Payment Application to document amounts billed in the current and prior periods.

What does a Payment Application in ConstructionOnline include?

When exported, a ConstructionOnline Payment Application generates a complete billing document that consists of two components:

Application Cover — The high-level financial summary of the project at the time of billing, including the Original Contract Amount, Total Change Orders, Contract Amount to Date, Completed to Date, Retainage, Current Payment Due, and Balance to Finish. The cover also includes a Change Order Summary table, a Contractor's Application for Payment certification section, and an Architect's Certification for Payment section.
Continuation Sheet(s) — A line-item breakdown of the full Schedule of Values, generated directly from the Project Estimate. Continuation Sheets track completion percentages and amounts billed per line item across every billing period. Depending on the number of line items in the Project Estimate, the exported document may include multiple Continuation Sheets.

For a detailed breakdown of all document fields and how they are calculated, visit the Guide to Understanding Payment Applications in ConstructionOnline.

What financial data does ConstructionOnline pull from to generate a Payment Application?

ConstructionOnline pulls from two required data sources to generate a Payment Application:

Project Estimate — Estimate data is required to generate the Schedule of Values. Without an active Estimate, line items and contract values cannot be populated.
Project Invoices — At least one valid Invoice must exist on the project before a Payment Application can be created. Invoices document the amounts billed in the current and prior periods. Valid Change Orders can also be included to reflect contract sum adjustments.

Because each Payment Application builds on the last—carrying forward what's been billed, what's been retained, and what's still owed—all of this information stays connected within ConstructionOnline rather than being pulled from separate sources or re-entered manually.

For full details on valid and invalid records and how data is calculated, visit the Guide to Understanding Payment Applications in ConstructionOnline.

Can I attach supporting documentation to a Payment Application?

Yes. Supporting documentation—such as submittals, lien waivers, or jobsite photos—can be attached directly to a Payment Application within ConstructionOnline. Having those documents connected to the application reduces the back-and-forth that typically happens when a reviewer needs additional information before approving.

What are the different statuses a Payment Application can have?

Each Payment Application is assigned a status that reflects its current stage in the billing lifecycle. Users manually update the status as the application progresses:

In Progress — The Payment Application has been created and is actively being built or edited. It has not yet been submitted for review.
Submitted — The Payment Application has been completed and submitted to the owner or relevant party for review and approval.
Approved — The Payment Application has been reviewed and approved. A new Payment Application may now be created for the next billing period, and the application can be marked as Paid.
Rejected — The Payment Application has been reviewed and rejected, requiring corrections or resubmission before payment can be authorized.

Can I print a Payment Application on AIA forms?

Yes. ConstructionOnline's Payment Application Print Overlay outputs pay app data directly onto official AIA forms (G702/G703), sized and formatted for a clean, professional result without requiring additional tools or manual effort. Before printing, ensure the official AIA form(s) are loaded in your printer.

Step-by-step instructions for printing pay apps onto AIA forms can be found here.

How do I print, email, or export a Payment Application?

Payment Applications can be printed, emailed, or exported to Excel (.XLSX) at any point during the billing process.

Step-by-step instructions for printing, emailing, or exporting a Payment Application can be found here.

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