Construction

Subcontractor Retention Release

Releasing the retained amount to a subcontractor after their portion of works is complete and the defects period passes.

Account NameTypeDebit ($)Credit ($)
Retention Payable (Subcontractor)Liability (-)20,000.00-
Cash in BankAsset (-)-20,000.00

💡 Accountant's Note

This mirrors the retention receivable from the client but from the subcontractor's perspective — the main contractor holds retention from subcontractors as a quality guarantee.

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