Most companies have a 10% number because that is what the MSO holds on them. However, you should have a cap on how much they will hold-$2K/3K, no reason to hold for the entire job. Just enough to cover any overcharges, clean up, etc. If the prime contractor and MSO was doing their job and checking your work daily/weekly, They would have NO reason to hold your money. It's their way of covering for the mistakes their own on site repr makes. Retainage should be released by the node as it is turned over to the MSO. If you don't receive your retention-put a lien on the MSO within 45 days. The Prime is Not suppose to be paid in full until they pay all vendors, sub contractors, employee's.
I knew of subs that overcharged all work by 10% because they thought they would not get their retention back. You don't want to do this, just keep it ethical, just do quality work, keep up with your paper work-ask for sign off -acceptance"BY THE NODE". Good Luck-post those companies that won't release your retention-state your case-it may help others in cleaning up this industry.
Re: How does retainage work?
Member #: 2039
Registered: 1996-2001
Posted:
1090
Name:
MicroMan
Name:
Gary E. Ogden
Company:
Micro Network Svc Grp
Occupation:
Coax-Copper-Fiber-
Location:
Domestic-International
Personal:
Experience:
~59 years
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