How this tool works
What the summary includes
The builder totals the values entered for this period, estimates retention as a percentage of that total, subtracts other agreed deductions, and shows an amount before VAT. For example, £5,000 work plus £250 agreed variation, less 5% retention (£262.50), leaves £4,987.50 before any other deductions.
Enter materials only if your contract allows them in the valuation and you can support the amount. Do not include disputed variations or deductions as though they were agreed.
VAT and previous applications
VAT is deliberately left out: the VAT tax point for construction and retention payments can depend on invoicing and payment events. Reconcile this current-period summary with your previous application and the contract’s cumulative valuation before sending.
Assumptions and limitations
This is a browser-based estimate using the figures and periods you enter. It does not verify a contract, decide legal validity, calculate tax liability or replace current HMRC guidance. Reviewed 7 October 2026.
Frequently asked questions
Does this create a formal payment notice?
No. It creates a current-period summary. Check the contract for required application content, submission method, cumulative valuation and notice obligations.
Does it add VAT?
No. VAT treatment is intentionally separate and must be checked for the supply and payment events.