Filling out AIA G702 and G703 forms correctly the first time saves weeks of back-and-forth during the payment cycle. Filling them out wrong delays payment by 15-45 days and damages the working relationship between sub, GC, and architect.

This walkthrough covers both sides of the process: how subcontractors complete the forms and how general contractors review them before passing them upstream to the architect and owner.

The Pay Application Timeline

Before diving into the forms, understand where G702/G703 fit in the monthly billing cycle.

Day	Activity	Who
1st-20th	Work progresses during the billing period	Subcontractor
20th-25th	Sub prepares G702/G703 and supporting documents	Subcontractor
25th	Billing cutoff date - Sub submits pay app to GC	Subcontractor
25th-30th	GC reviews, verifies field percentages, requests corrections	General Contractor
30th-5th	GC consolidates all sub pay apps into owner billing	General Contractor
5th	GC submits consolidated G702/G703 to architect	General Contractor
5th-15th	Architect reviews, conducts site visit if needed, certifies	Architect
15th	Architect issues Certificate for Payment to owner	Architect
15th-45th	Owner processes payment per contract terms (typically 30 days)	Owner

The exact dates vary by contract. Most AIA agreements specify a billing cutoff date and a payment period (often 30 days from architect certification). Missing the billing cutoff means waiting an entire additional month for payment.

For Subcontractors: How to Fill Out the G703

Start with the G703 continuation sheet. This is where all the detail lives, and the G702 summary draws from it.

Step 1: Confirm Your Schedule of Values

Your SOV was approved at the start of the project. Every line item on your G703 must match the approved SOV exactly. Do not add, remove, or rename line items without a formal change order.

Common SOV line items for an electrical subcontractor:

Item	Description	Scheduled Value
1	Rough-in - Underground	$85,000
2	Rough-in - Walls/Ceiling	$142,000
3	Panel Installation	$67,000
4	Wire Pull	$93,000
5	Devices & Trim	$58,000
6	Fire Alarm	$41,000
7	Testing & Commissioning	$24,000
Total		$510,000

Step 2: Fill In Column D (Previous Work Completed)

Column D carries forward from your last approved pay application. This number should match Column G from the prior month's G703.

Do not change Column D unless a prior billing was adjusted. If the GC reduced one of your line items last month, Column D should reflect the GC-approved amount, not what you originally requested.

Step 3: Fill In Column E (Work Completed This Period)

This is the new billing for the current month. For each line item, enter the dollar amount of work you completed during this billing period.

How to calculate Column E accurately:

Walk each scope area and estimate the percentage complete
Multiply the scheduled value by the total percentage complete
Subtract what you have already billed (Column D) and any stored materials (Column F)
The remainder is Column E

Example:

Wire Pull scheduled value: $93,000
Total percentage complete this month: 45%
Total value completed: $93,000 x 0.45 = $41,850
Previously billed (Column D): $27,900
Stored materials (Column F): $0
Column E this period: $13,950

Step 4: Fill In Column F (Materials Presently Stored)

Enter the value of materials you have purchased and stored (either on-site or in an approved off-site location) but have not yet installed.

Requirements for stored materials billing:

Provide invoices showing material cost
Provide photos showing proper storage and protection
Off-site storage requires owner/GC approval of the storage location
Materials must be covered by insurance
Once installed, the value moves from Column F to Column E in the next period

Step 5: Verify Calculated Columns

After filling in D, E, and F, verify these auto-calculated values:

Column G = D + E + F (total completed and stored to date)
Column H = G / C (percentage complete --- express as a whole number, not decimal)
Column I = C - G (balance to finish)

Check that no line item exceeds 100% in Column H. Billing over 100% on any line item is a red flag that will get the entire application rejected.

For Subcontractors: How to Complete the G702

With the G703 finished, the G702 summary is straightforward.

Step 6: Fill In the G702 Header

Enter the project name, project number, application number (sequential --- this is your 5th billing, it is Application No. 5), period covered (e.g., "April 1, 2026 through April 30, 2026"), and the contract date.

Step 7: Enter Financial Summary Fields

Field	Source	Your Value
1. Original Contract Sum	From your executed contract	$510,000
2. Net Change by Change Orders	Sum of all approved COs	$22,500
3. Contract Sum to Date	Field 1 + Field 2	$532,500
4. Total Completed & Stored to Date	Sum of G703 Column G	$198,750
5a. Retainage on Completed Work	Per contract retainage rate	$19,875
5b. Retainage on Stored Material	Per contract retainage rate	$0
6. Total Earned Less Retainage	Field 4 - Field 5	$178,875
7. Less Previous Certificates	From last approved G702	$142,200
8. Current Payment Due	Field 6 - Field 7	$36,675
9. Balance to Finish Plus Retainage	Field 3 - Field 6	$353,625

Step 8: Sign, Date, and Notarize (If Required)

Sign the contractor's certification on the G702. Some jurisdictions and some contracts require notarization. Check your contract requirements before submitting.

Step 9: Attach Supporting Documents

A complete pay application package typically includes:

Signed G702
G703 continuation sheet(s)
Conditional lien waiver for the current billing
Unconditional lien waiver for the previous billing (confirming prior payment received)
Stored materials documentation (invoices, photos)
Change order backup for any new CO line items
Updated project schedule (if required by contract)

For General Contractors: How to Review G702/G703

The GC review process is where overpayment prevention happens. Rushing this step is how projects hemorrhage cash.

Step 10: Mathematical Verification

Before evaluating any percentages, verify the math. Every calculation described in Steps 5 and 7 must check out.

Red flags in the math:

Column G does not equal D + E + F
Sum of Column G does not match G702 Field 4
G702 Field 3 does not equal the current contract sum (original plus approved COs)
Retainage calculation uses the wrong rate or wrong base amount
Previous certificates (Field 7) does not match last month's approved Field 6

Step 11: Percentage Completion Verification

This is the most important step. For each line item, ask: does the percentage in Column H match reality?

Verification methods:

Field observation: Walk the site with the sub's foreman. Compare installed work to the percentage claimed.
Daily reports: Cross-reference billing percentages against daily report logs showing labor and material activity.
Photo documentation: Review progress photos from the billing period.
Quantity tracking: For unit-price or measurable work, verify actual quantities installed.

Step 12: Front-Loading Detection

Front-loading occurs when a subcontractor bills a disproportionate percentage early in the project to improve their cash flow at the GC's expense.

The 25-Point Rule: If any line item jumps more than 25 percentage points in a single billing period without corresponding field evidence, flag it for review.

Example of front-loading:

Item	Month 1	Month 2	Month 3	Suspicious?
Rough-in	0%	15%	40%	Normal progression
Panel Install	0%	0%	55%	Yes --- 55-point jump with panels typically installed over 2-3 months
Devices	0%	45%	50%	Yes --- 45% billed in month 2 when devices are typically installed late in the project

Step 13: Stored Materials Review

Verify every dollar of stored materials billing:

Does the invoice match the amount claimed?
Are the materials physically present and properly stored?
Are they insured?
Is off-site storage pre-approved?
Are the materials actually needed for this project (not for the sub's other jobs)?

Step 14: Change Order Reconciliation

Confirm that:

Only approved change orders appear on the G703
The scheduled values match the approved CO amounts
No pending or disputed COs are being billed
CO line items are not double-counted (both modifying an existing line and adding a new one)

Step 15: Approve, Adjust, or Return

After review, the GC has three options:

Approve as submitted --- forward to the architect/owner
Adjust and approve --- reduce specific line items with written explanation, forward adjusted version
Return for correction --- send back to the sub with specific items to fix

Document every adjustment. A simple spreadsheet tracking "Sub Requested vs. GC Approved" for each line item creates an invaluable audit trail.

Common Rejection Reasons and How to Avoid Them

Rejection Reason	Frequency	Prevention
Math errors	35% of rejections	Use automated calculation tools
G702/G703 totals don't match	25% of rejections	Verify tie-outs before submitting
Missing lien waivers	20% of rejections	Collect waivers alongside the pay app
Overbilling on line items	10% of rejections	Verify percentages against field conditions
Missing stored material backup	5% of rejections	Attach invoices and photos to every stored material claim
Incorrect retainage calculation	5% of rejections	Double-check retainage rate and base amount

Frequently Asked Questions

How long does the typical G702/G703 approval cycle take? From sub submission to GC payment receipt, the standard cycle is 45-60 days. The sub submits around the 25th, the GC reviews for 5-10 days, the architect certifies within 7-10 days, and the owner pays within 30 days of certification.

Can a subcontractor submit a G702/G703 electronically? Yes. Most contracts accept electronic submissions, and many GCs now require them. The key is that the electronic version must contain all the same information as the paper form, and signatures must comply with the project's electronic signature requirements.

What if the GC and sub disagree on the percentage complete for a line item? The GC's assessment typically governs for the current billing cycle. The sub can dispute the adjustment in writing. If the dispute is not resolved, the sub can file a claim under the contract's dispute resolution procedures. The undisputed portion should still be processed for payment.

Do I need to use the official AIA-printed forms? Depends on your contract. If the contract specifies AIA G702/G703, you should use the official forms or AIA-licensed software that produces equivalent output. Some contracts accept "substantially similar" forms. Check the contract language and confirm with the architect.

What is the penalty for submitting an inaccurate pay application? Under AIA A201, a false certification can be grounds for contract termination. Practically, a first offense typically results in the application being returned and the sub being placed on heightened review for future billings. Repeated overbilling can lead to default proceedings.

How should change orders in negotiation be handled on the G703? Do not include unapproved change orders on the G703. Only approved, fully executed change orders should appear. If work is proceeding under a construction change directive (CCD) before final CO approval, consult with the GC about whether to bill and how to present it.

Automate the Review Process

Manually reviewing G702/G703 packages from 20+ subcontractors each month is a full-time job. SubcontractorAudit handles mathematical verification, front-loading detection, and retainage validation automatically --- so your project accountants can focus on the judgment calls that actually require human expertise.

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