Progress claim certification is the independent assessment of a contractor’s progress claim, ending in a certificate that states how much should be paid. It is carried out on behalf of the Principal or, on lender-funded projects, the financier, usually by a Quantity Surveyor, Superintendent, or Contract Administrator, against the contract, the bill of quantities, and evidence from site.
Why does progress claim certification matter?
The certificate is what the Principal pays against. Each claim period, the contractor makes a claim for work completed to date, and the certifier decides what is actually payable.
Get it right and money moves fairly in both directions. Get it wrong and the Principal pays for work that isn’t there, or the contractor is underpaid and the relationship suffers. For a Quantity Surveyor acting for the Principal, certifying progress claims is one of the most frequent tasks on a project, and one of the most closely scrutinised.
Who certifies progress claims?
The certifier depends on the project and the contract. It is usually one of the following:
Independent Quantity Surveyor or Cost Manager: Engaged by the Principal to assess claims and advise on the amount payable.
Superintendent: Under standard form contracts such as AS 4000, assesses claims and issues progress certificates as part of administering the contract.
Contract Administrator: Acting for the Principal under the contract’s payment provisions.
Financier’s Quantity Surveyor: On lender-funded projects, confirms the value of work in place before funds are released.
The role differs, but the job is the same: an independent, evidence-based view of what is payable for the period.
Where does certification sit in the claim cycle?
Certification is one step in a repeating monthly cycle. On most projects it runs like this:
1. The contractor submits a progress claim for the period, covering work completed to date, materials, approved variations, and any other entitlement under the contract.
2. The certifier assesses the claim against the contract, the Bill of Quantities, and the evidence available, including site inspections and previous certificates.
3. The certifier issues a Progress Certificate stating the amount certified for the period and the reasons for any difference from the amount claimed.
4. The Principal pays the certified amount within the time allowed by the contract or the state’s security of payment Act, whichever applies.
Why do certification timeframes matter?
Certification is not open-ended. The contract sets a time for the certifier to assess the claim and issue the certificate, and where the claim is made under Security of Payment legislation, the Act (SOPA) imposes its own deadline on top of that.
Statutory deadlines are not discretionary. Missing one can have consequences for the respondent regardless of the merits of the assessment, which is why experienced certifiers track the dates as closely as the figures. The deadlines differ in each state and territory, so it’s important to check timeframes in your jurisdiction.
How is certification different from a Payment Claim, Payment Schedule, and a Progress Certificate?
These terms are often used interchangeably, but they mean different things.
Progress Claim: A contractor’s periodic request for payment for work completed to date under a construction contract, usually made monthly.
Payment Claim: A progress claim made under a state or territory’s security of payment legislation. Claiming under the Act starts statutory timeframes for the reply and for payment.
Payment Schedule: The written reply to a payment claim, given by the party that received it, stating how much it proposes to pay and its reasons for paying less than the amount claimed.
Progress Claim Certification: The independent assessment of how much of a contractor’s progress claim is payable for that claim period.
Progress Certificate: The document issued by the certifier stating the amount certified as payable for a claim period. Under AS 4000 the Superintendent issues it.
Payment Certificate: Another name for a Progress Certificate. Some contracts and some state Acts use Payment Certificate where others use Progress Certificate.
In practice, the lines can blur. Many contracts deem the superintendent’s Progress Certificate to be the Payment Schedule. Whether a certificate can do both jobs depends on the contract and on the state’s Security of Payment Act (SOPA).
What does a certifier check before certifying?
Assessing progress claims comes down to a handful of questions:
Is the claim valid and on time?
A claim needs to meet the contract’s requirements and, if it is a payment claim, the state’s Security of Payment Act (SOPA). That means checking the claim period, the date the claim was served, and whether the claim identifies the work and the amount clearly enough to count.
Does it match the contract and the bill of quantities?
Every claimed quantity and rate should trace back to the contract. Watch for rates that drift from the schedule, items claimed against the wrong section, and percentages complete that have moved further than the work has.
Are claimed variations approved?
Unapproved variations shouldn’t be certified as if they were. Keep approved variations, variations submitted but not yet determined, and disputed items visibly separate, so the Progress Certificate shows each on its own footing.
Does the work on site reflect what is claimed?
Site inspections, photos, and reports are the evidence behind a certified number. Materials deserve their own look, because the contract decides whether unfixed materials on site are payable and on what conditions.
Are retention and previous payments correct?
Cumulative totals should reconcile, retention should follow the contract, and nothing should be paid twice. Check retention against both the percentage and the limit set by the contract, and confirm the amount certified to date agrees with the previous certificate.
What does a Progress Certificate contain?
The exact format of what is contained in a Progress Certificate follows the contract, but it generally carries two things: the details that identify it, and the calculation that arrives at the amount payable.
The identifying details:
- Certificate number and claim period. Where the certificate is in the sequence, and the period of work it covers.
- Contract sum and approved variations. The current contract value, including variations approved to date.
- Amount claimed and amount certified. Both figures are shown together, so any difference between them is visible.
- Payment due date. The date the certified amount falls due under the contract or the relevant Security of Payment Act.
- Certifier’s name, signature, and date. Who issued the certificate, and when.
The calculation then works down to the amount payable:
- Value of work completed to date. The total value of work in place at the end of the claim period, assessed against the contract and the Bill of Quantities, and including approved variations and any materials on site the contract makes payable.
- Retention. Money withheld from the contractor as security, deducted at the percentage and up to the limit the contract sets.
- Amounts previously certified. The total certified in earlier periods, deducted so the certificate covers only what has been earned since the last one.
- Amount due. The figure that remains once retention and earlier certificates are taken out. This is what the Principal pays for the claim period.
- GST. Applied to the amount due where the supply is taxable.
Alongside the figures, the certificate should carry the reasons for any difference between what was claimed and what was certified. That is the part that does the work if the amount is ever questioned.
Why does a defensible record matter?
A certified figure can be questioned by the Principal, by the contractor, or by an adjudicator if the contractor disputes the amount under the Security of Payment Act (SOPA). When that happens, reasons recorded at the time of assessment carry far more weight than reasons pieced together later.
The Certificate also carries the certifier’s name. A defensible record protects both the project and the certifier’s professional reputation. At a minimum, it shows:
- what was claimed and what was certified, line by line
- why any certified amount differs from the claim
- the evidence relied on
- who made each decision, and when.
Where does software fit?
Certification is judgement. The admin around it is not.
Many Quantity Surveyors still assess claims in spreadsheets: re-keying the contractor’s claim, reconciling it against previous certificates, and chasing evidence through email. That work takes time away from the part only a certifier can do.
Notum, progress claims software by Buildsoft, brings assessment and certification into a single workflow. Claims, previous certificates, variations, and evidence sit in one place, and the reasons behind each certified figure are recorded as you go.
When the assessment is complete, Notum produces the Payment Certificate and supporting Valuation Summary Schedules from the same record, with options for a cover letter, detailed or lean schedules, and SOPA.
Notum also includes Vera, an AI assistant that reviews claims and flags items worth a closer look. Vera never certifies on its own, the certifier always makes the call.
The time saved is real. APJ Consulting Services has found that Notum saves at least 50% of the time spent on a typical claim.
“Notum has significantly improved the way I manage progress claims, with a faster and more streamlined workflow. I estimate it saves at least 50% of the time spent on a typical claim, while also reducing the risk of spreadsheet errors. This allows me to focus more time on the assessment itself, take on additional work and deliver greater value to my clients.“
Antony Jackman MAIQS, CQS
Quantity Surveyor, APJ Consulting Services
apjconsultingservices.com.au
Frequently Asked Questions
Is a Progress Certificate the same as a Payment Schedule?
Often, but not always. Many contracts deem the Certificate to be the Payment Schedule. Whether it counts as one depends on the contract wording and the state’s Security of Payment Act (SOPA), so check both.
What is a Progress Certificate?
A Progress Certificate is the document issued by the certifier stating the certified amount. It records what is payable for the period and is what the Principal pays against.
Is a Progress Claim the same as a Payment Claim?
Not quite. A Progress Claim is a contractor’s periodic request for payment under the contract. It becomes a payment claim when it is made under the state’s Security of Payment Act (SOPA), which starts the statutory timeframes.
Who is responsible if a certified amount is wrong?
The certifier is responsible for their assessment and can be accountable to whoever engaged them. That is why a clear record of how each figure was reached matters. An incorrect amount can often be adjusted in a later certificate, or disputed by the contractor through the contract or adjudication. Responsibility in any particular case depends on the contract, the terms of the certifier’s engagement, and the law in the relevant state or territory, so seek your own legal advice rather than relying on a general position.
See certification in Notum
Notum gives certifiers one place to assess, certify, and record every progress claim. Request a Notum demo.
Disclaimer: This article is general information only and is not legal advice. Security of payment legislation differs in each Australian state and territory, and the requirements that apply to any progress claim, payment schedule, or certificate also depend on the terms of the contract. Verify the current position with the relevant government authority in your jurisdiction, and seek your own legal advice before acting on anything set out here.
