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This is the operator's guide to what subcontractors can actually enforce on private projects in all 50 states and DC.
Retainage is one piece of your work-to-cash cycle. A few operator moves turn it from a surprise into a planned line item.
The statutory clock does not start on a phone call or a verbal okay. A clean, complete pay app submitted in accordance with your contract is what creates the deadline.
Most states with private-project statutes require the GC to pay subs within 7–14 days of receiving funds. Some states tie the clock to submission or invoice approval instead.
Late payment interest commonly runs 1%–1.5% per month. A few states charge 2% per month or 18% per year. In some states the interest is automatic; in others you must give notice first.
Three nuances decide whether the law helps you. Private vs. public — many states regulate only public projects. Contract override — in most states the statutory deadline is a default your contract can change. Notice requirements — several states only award interest if you included specific statutory language on your pay app.
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Disclaimer. This article is general information, not financial or legal advice. Prompt payment statutes are amended periodically, vary by project type and contract value, and contract terms can change how they apply to your project. Several figures above reflect summaries of state law and should be confirmed against current statutory text and qualified counsel before you rely on any deadline, interest rate, or remedy. Breva is a financial operations platform — not a law firm or a lender.