Configure Settings

To bill for stored materials, configure these settings:

  • Choose the Accounting Method for the Contract

  • Configure the Stored Materials Settings for a Commitment

  • Configure the Stored Materials Settings on the Invoicing Tool

Choose the Accounting Method for the Contract

Configure the accounting method for a new prime contract to bill for stored materials on an invoice. You can also configure the accounting method for purchase orders and subcontracts created with the Project-level Commitments tool. Procore applies the setting you choose to the contract and any invoices related to the contract. Choices are:

  • Amount-Based. Enter the lump sum amount for line items on the contract's Schedule of Values and the contract's invoices.

  • Unit/Quantity-Based. Enter a quantity and unit price for line items on the contract's Schedule of Values and the contract's invoices.

 Tip

Managing bids in Procore? You can set the accounting method for the Project-level Bidding tool. To learn more, see How do I set the accounting method for bids?

Examples

These examples show you how to choose the accounting method for purchase orders and subcontracts in the project's Commitments tool and on a new prime contract for a project. To learn more, see How do I set the accounting method for a contract?

Commitments

A user with 'Admin' level permissions on the Commitments tool configures the 'Default Accounting Method for Purchase Orders' and 'Default Accounting Method for Subcontracts' settings under 'Default Contract Settings' on the 'Configure Settings' page of the tool. Once set, all of the commitments on the project use the method configured. To learn more, see Configure Advanced Settings: Commitments.

commitments-default-acctg-method.png

Prime Contracts

A user creating a prime contract must configure its default accounting method before adding any line items to its Schedule of Values. Once line items are added, you cannot change the accounting method. In Procore, the default accounting method is Amount-Based contracts. To change to the Unit/Quantity-based method, click the button in the banner at the top of a prime contract's Schedule of Values. To learn more, see Create Prime Contracts.

prime-contracts-default-acctg-method.png

Configure the Stored Materials Settings for a Commitment

To enable billing for stored materials on a commitment, a team member with 'Admin' level permissions on the Commitments tool can mark the 'Enable Billing Separately for Stored Materials' setting on the Advanced Settings tab of a commitment.

Example

This is an example of the 'Stored Materials' setting on a contract. This setting is available on the Commitments tool. To enable the option, mark the 'Enable Invoices' check box and then the 'Enable Billing Separately for Stored Materials' check box.

If your invoices must account for retainage, your team also has the option to mark the 'Enable Stored Material Retainage' check box. To configure subcontractor invoices to enter retainage, see Enable Retainage on a Purchase Order or Subcontract.

enable-stored-materials.png

Configure Stored Materials Settings for the Invoicing Tool

A team member with 'Admin' level permissions on the Commitments tool can update the Stored Materials settings on the Project-level Invoicing tool. When toggled ON, Procore automatically moves the amount entered in the 'Materials Presently Stored' column on the previous invoice's Schedule of Values to the 'Work Completed from Previous Application' column on the next invoice.

 Note

For best results, Procore recommends configuring this setting before your team creates invoices on a project. However, you can change this setting mid-project as shown in this example.

Example

This is an example of the 'Stored Materials' setting on the Project level Invoicing tool.

invoicing-stored-materials-setting.png

If you turn this setting ON mid-project, an informational message informs you how changing the setting affects your existing contracts. The user making the change must click Update to acknowledge the prompt.

update-stored-materials-message.png

Considerations
Amount-Based Data Entry