1. To-Increase Dynamics 365 for Finance & Operations
  2. Advanced project management
  3. Working with Advanced project management
  4. Create and manage projects

Use progress billing

You can use progress billing as an alternative way to invoice a project. In progress billing, you invoice the amount of work completed so far.

Progress bill helps to temporarily claim the revenue internally before the customer has approved the progress bill. 

As a result, a fee journal is posted, which can be reversed when required for a financial impact.

Note:

  • To apply progress billing to a (sub)project, on the related project quotation WBS, the Use progress billing check box must be selected for the related WBS project line.
  • Progress billing requires a scheduled unit, a forecast quantity, and a bid rate for each activity. 
  • The sum of the progress amounts of all lines is the total progress amount to be invoiced.
  • Only one open/active progress bill can exist per root project.


Project manager Project manager Start Start Use 'zero' progress bill Use 'zero' progress bill Before you start a project, you can create, print, and post a so-called zero progress bill. You can create a zero progress bill once before a regular progress bill is created. You can use the zero progress bill as an official statement at the start of a project to communicate the work breakdown structure, quantities, and prices. Zero progress bill characteristics: A special journal is used for the zero progress bill. This journal is different from the regular progress bill journal. For the journal name, the 'Zero progress bill' check box is selected. Print a zero progress bill before you create and post a regular progress bill.   Procedure 1. Go to Project management and accounting > Projects > All projects. 2. In the list, find and select the desired record. 3. Click Progress bills. 4. Click New. 5. In the Progress bill journal name field, enter or select a value. 6. In the Invoice date field, enter a date. 7. Click OK. 8. Close the page. 9. Click Progress bill report. 10. Click OK. 11. Close the page. 12. Close the page. 13. Close the page. 14. Go to Default dashboard. Claim revenue  temporarily? Claim revenue  temporarily? Use progress billing without temporary revenue claim.

Use progress billing without temporary revenue claim

You can choose to only recognize the revenue on the final posting of the progress bill after the customer has approved.

 Use progress billing with temporary revenue claim

Use progress billing with temporary revenue claim

You can choose to temporarily claim the revenue internally before the customer has approved the progress bill. As a result, a fee is posted.

 Do you want to  bill negative progress? Do you want to  bill negative progress? Post negative progress bill Post negative progress bill You can post a negative progress bill journal to report any negative progress on an activity or a complete project after the invoice is posted.You can use this to report the correct progress when you have posted a higher progress than the percentage of completion times the contract value. Procedure 1. Go to Project management and accounting > Journals > Progress bill > Project. 2. Click New. 3. In the Progress bill journal name field, enter or select a value. 4. In the Project ID field, enter or select a value. 5. In the Invoice date field, enter a date. 6. Click OK. 7. In the From date field, enter a date. 8. In the To date field, enter a date. 9. In the list, find and select the desired record. 10. In the Current progress quantity field, enter a number. 11. In the Progress % field, enter a number. 12. Close the page. 13. Click Post. 14. Click OK. 15. Close the page. 16. Go to Default dashboard. Release retention Release retention If applicable, retentions are calculated automatically based on the retention terms that are linked to the project contract.If you post a progress bill, automatically a record is created for the project in the Request retained amount. You can create an invoice proposal for retained amounts. Procedure 1. Go to Project management and accounting > Projects > All projects. 2. In the list, find and select the desired record. 3. Click Request retained amount. 4. Select the Select check box. 5. Click Create invoice proposal. 6. Click Post. 7. Click OK. 8. Click OK. 9. Close the page. 10. Close the page. 11. Go to Default dashboard. Notes To inquire the customer retained payments for each project, click Customer retained payments in the Retention group on the Control tab.To request the retained amount, you need a posted invoice proposal with a retention amount on the project contract or on the customer. End End Use ‘zero’ progress bill? Use ‘zero’ progress bill? Retention applied? Retention applied? No Yes Yes No Yes No Yes No

Activities

Name Responsible Description

Use 'zero' progress bill

Project manager

Before you start a project, you can create, print, and post a so-called zero progress bill. You can create a zero progress bill once before a regular progress bill is created.

You can use the zero progress bill as an official statement at the start of a project to communicate the work breakdown structure, quantities, and prices.

Zero progress bill characteristics:

  • A special journal is used for the zero progress bill. This journal is different from the regular progress bill journal. For the journal name, the 'Zero progress bill' check box is selected.
  • Print a zero progress bill before you create and post a regular progress bill.

 

Use progress billing without temporary revenue claim.

Project manager

You can choose to only recognize the revenue on the final posting of the progress bill after the customer has approved.

Use progress billing with temporary revenue claim

Project manager

You can choose to temporarily claim the revenue internally before the customer has approved the progress bill. As a result, a fee is posted.

Post negative progress bill

Project manager
You can post a negative progress bill journal to report any negative progress on an activity or a complete project after the invoice is posted.
You can use this to report the correct progress when you have posted a higher progress than the percentage of completion times the contract value.

Release retention

Project manager

If applicable, retentions are calculated automatically based on the retention terms that are linked to the project contract.

If you post a progress bill, automatically a record is created for the project in the Request retained amount. 

You can create an invoice proposal for retained amounts.

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