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Glossary

Retention

A percentage of each payment held back as security until the job is signed off.

Retention is a portion of your payment — often 5% — withheld by the client as security that you’ll finish the work and fix any defects. It’s typically released in stages, with the last part paid after the defect liability period ends.

Related
Invoicing Defect liability period
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Scope of work Subcontractor Superannuation guarantee SWMS (Safe Work Method Statement)
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