Overview
Zero Dollar Waivers can be collected from Trade Partners even in cases where no payment is due. This helps ensure compliance and documentation completeness throughout the billing cycle, addressing feedback from customers who manage complex subcontractor and vendor relationships. This article outlines how to enable and use this feature in Construction Financials.
Collecting Zero Dollar Waivers
Description
Project admins can configure invoice requirements to require lien waivers from trade partners, even when there is not any value billed for during that billing period. This ensures that documentation is collected consistently for every billing cycle.
Step-by-Step Instructions:
Step 1: Navigate to a specific project.
Step 2: Click on Settings in the project menu.
Step 3: Go to Payable Requirements.
Step 4: Select all waiver types you would like to require for Trade Partner payables.
Step 5: Click New Payable Requirements to apply changes.
Note: A $0 Trade Partner Pay Application must be created in a given billing period in order to collect a Zero Dollar Waiver. Enabling this payable requirement ensures that Trade Partner lien waivers are collected for every Trade Partner Pay Application.
Creating a Trade Partner Pay Application with Zero Dollar Progress
Description
After enabling the Trade Partners waiver setting, users can proceed with standard billing processes. This section explains how to create a Trade Partner pay application and track waiver submissions.
Step-by-Step Instructions:
Step 1: Navigate to a commitment (e.g., subcontractor or vendor account).
Step 2: Click on the Pay Applications tab.
Step 3: Create a New Pay Application, either Generate from a File or Add Manually.
Step 4: Navigate to the Trade Partners tab.
Step 5: Click Add Trade Partner Payables to add the billing amount—even if it’s $0.
Step 6: In the dropdown, click Add New Payable, either Generate from a File or Add Manually.
Step 7: Select the Trade Partner.
Step 8: On this Invoice tab, populate $0 for the Work This Period for the Trade Partner Payable and click Finalize Invoice.
Step 9: On the Requirements tab, you can upload, download, or satisfy each of the Trade Partner Requirements.
Note: Once uploaded, the waiver will move through review and approval status as usual.
We’re excited to bring this feature to customers who manage Trade Partner waivers. This enhancement is based on customer feedback and provides better compliance coverage without disrupting billing workflows.
FAQ
What is the Zero Dollar Waiver feature?
The Zero Dollar Waiver feature allows for managing lower tier lien waivers even when no payment is due, ensuring compliance and documentation completeness throughout the billing cycle.
How can I enable the Zero Dollar Waiver setting?
To enable the Zero Dollar Waiver setting, navigate to a specific project, click on Settings, go to Invoice Requirements, enable 'Require zero dollar waivers,' and then click Save.
Can I create a pay application with a zero dollar amount?
Yes, you can create a pay application and add a billing amount of $0, which will still require lien waivers.
How do I upload waiver documents from the commitment?
To upload waiver documents, navigate to the Lower Tier Vendors section in a commitment, find the vendor, and click Upload next to the relevant waiver requirement.
Is the Zero Dollar Waiver feature mandatory for all projects?
No, the Zero Dollar Waiver feature is optional and can be enabled or disabled by project admins as needed.