How to Create a Schedule of Values | Reddit & LinkedIn

A schedule of values, often called an SOV, is the backbone of progress billing. It takes a single contract price and breaks it into the pieces of work that make up the job, each with its own value. On formal projects it follows an AIA G702 and G703 style format that owners and lenders recognize.

The point is transparency. Instead of billing a lump sum and hoping the client agrees you are far enough along, you bill against named line items with agreed values. Everyone sees what is complete and what is left, which is why banks and owners require it on larger jobs.

Divide the job the way you build it: by phase or division. A remodel might list demolition, rough trades, insulation and drywall, cabinetry, finishes, and closeout. A ground-up job lists sitework, foundation, framing, each trade, and finishes.

Make the lines granular enough to bill fairly as work progresses, but not so granular that tracking becomes its own job. Include mobilization and general conditions as their own lines. Keep the breakdown honest rather than front-loading the early phases, because owners and lenders review the schedule and an aggressive one invites pushback.

Each line value should come straight from your estimate, carrying that phase's material, labor, and its share of overhead and profit. When the schedule is built from the estimate, cost tracking and billing stay in sync, and you can see margin by phase as the job runs.

The one hard rule is that the sum of the line values must equal the signed contract amount exactly. If they do not tie out, the owner or lender will reject the schedule, so reconcile before you submit.

Each pay period, mark the percent complete for every line. The amount earned this period is the line value times percent complete, minus what you already billed on that line. Sum the lines, subtract retainage, and that is your draw.

Attach backup: photos, delivery tickets, and any required lien waivers. Clean, consistent draws against an agreed schedule get approved faster, because the reviewer is checking your numbers against a document everyone already signed off on.

ContractShield builds milestones from the accepted quote, so the structure you priced becomes the structure you bill. Each milestone carries its value, and you invoice against it as the work completes rather than rebuilding a spreadsheet every draw.

Overdue invoices chase themselves with automated reminders, and the platform fee stays 2% per job (1% each side), capped at $250, with no per-lead fees. You get the discipline of a formal schedule of values without the manual tracking that usually comes with it.