New laws

Payment Claims and Payment Schedules

Payment Claims (invoices)

A payment claim is a written request for payment and may be an invoice. A contractor can give a payment claim to an individual or a company that owes them money for the construction work or related goods and services under a construction contract.

Since 17 December 2018, there is no longer a requirement to include the endorsement “This is a payment claim under the Building and Construction Industry Payments Act 2004” on a payment claim.  Payment claims are now governed by the Building Industry Fairness (Security of Payment) Act 2017.

A payment claim is a written document that:

  • Identifies the work or goods and services;
  • States the amount owed; and
  • Requests payment.

See payment claim example (PDF).

A payment claim should be issued as per your contract or as accepted by both parties.

You must issue a payment claim on or after a valid reference date which is the date a claim for progress payment can be made. Only one payment claim can be issued per reference date.

Payment claims or invoices for progress payments or one-off payments must be issued within 6 months of completing the work. Final payment claims must be issued within 6 months of completion or 28 days of the end of the defect liability period.

It’s an offence not to respond to a payment claim. If you aren't paid and don't receive a response you should consider your rights to suspend work and your payment dispute options.

Payment Schedules

Unless paying in full by the due date, a payment schedule must be given within 15 business days.

A payment schedule is a written document that:

  • Identifies the payment claim;
  • States the amount (if any) you are willing to pay; and
  • Includes ALL reasons for not paying or paying a lesser amount

See payment schedule example (PDF)

A payment schedule must be issued as per your contract or as agreed by parties.

The scheduled amount must still be paid by the due date as stated in the contract. If the contract doesn't specify a due date, payment must be made within 10 business days after receiving the payment claim.