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Make Sure You Get Paid

Bookkeeping Debt Collection

We hear of our building and construction clients not being paid all the time, so we thought this information below would help in preventing future situations of non-payments of contracts by builders or home owners.

Within the construction and building industry the Building and Construction Industry Security of Payment Act 1999 (the Act) ensures that a person who commences construction work (or who undertakes to supply related goods and services) under a construction contract is entitled to receive and is able to recover and progress payments in relation to the work carried out and the supplying of those goods and services.

All contractors providing goods and services as part of construction work are entitled to receive ‘progress payments’ for work that is delivered.

If issues regarding payments arise, the following information will guide you on the best next steps.

Payment Claims

Payment claims can be lodged for construction work performed or goods and services undertaken if you are a :

  • Head contractor

  • Subcontractor

  • Supplier

  • Plant and equipment hirer

  • Consultant

Even if a contract is not written, does not include progress payments or there is only a single payment to be made once the work is complete, payment can be claimed for work completed within a 12 month period.

If you have not being paid by the specified date (or the last day of the month) you are entitled to make a payment claim stating the amount due and describing the construction work (or related goods) for which you are claiming and serve the claim on the client at the time specified in the contract by person, post or fax.

You must record the date when the respondent receives the claim and state that the payment claim is made under the Act.

Alongside your claim, you must supply a supporting statement which declares that all payments to subcontractors who have been engaged for construction work have been paid.

When a payment claim is made, the respondent must deliver a payment schedule within 10 business days. Failing this, the amount to be paid under the payment schedule is due immediately.

If payment has not being received by the due date, you are entitled to serve a written notice of suspension of work under the Act. Once the letter has been received by the respondent you are entitled to suspend work 2 business days later. You are entitled to claim any loss you suffer as and continue the suspension of work until the end of 3 business days from when you have been paid by the respondent.

Further to this, if full payment or a schedule of payment is not received, you are entitled to lodge an application for adjudication if you meet the requirements.

For further information check out the following forms and links below:

Breach Reporting Form

This blog has been prepared for the purposes of general information and guidance only. It should not be used for specific advice or used for formulating decisions under any circumstances. If you would like specific advice about your own personal circumstances, please feel free to contact us on 02 9411 5070 or email


This information is not to be relied upon without speaking to your accountant, tax agent or financial adviser depending on the advice.

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