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.