Manage Client Retainers

Retainer-based billing provides predictable revenue but introduces accounting complexity. You need to track upfront payments that haven't been earned yet, apply work against those balances, invoice for overages, and keep clients informed about their remaining balance. FiscalInsights manages the full retainer lifecycle so you stay organized and your clients stay informed.

When a client pays a retainer, FiscalInsights records it as a liability (unearned revenue) rather than income—which is the correct accounting treatment. As you perform work and log time or deliverables, you draw down the retainer balance. Revenue is recognized only as work is completed, keeping your books accurate and GAAP-compliant.

Client-facing statements show the retainer balance, activity, and remaining credit in a clear, professional format. Send these automatically each month so clients always know where they stand. When the retainer runs low, FiscalInsights can automatically generate a replenishment invoice or flag the client for renewal. If work exceeds the retainer, the overage is invoiced separately with full detail of the additional services.