Collect retainer deposits upfront, track the balance as you work, and draw against it transparently. Purpose-built for service firms that bill against prepaid funds.
Try It FreeIf your business operates on retainers -- collecting a deposit before work begins and billing against it over time -- then you know the bookkeeping can get complicated fast. Most accounting software forces you to track retainers with workarounds: manual journal entries, liability account gymnastics, or external spreadsheets. Kantivo handles it natively.
Create a retainer for any client, record the initial deposit, and then draw against the balance as work is performed. Every deposit and draw generates the correct journal entries automatically. Both you and your client always know exactly how much retainer remains.
Record retainer deposits when funds arrive. Each deposit is posted as a liability (unearned revenue) until earned through delivered services.
When you complete work, apply a charge against the retainer. The draw reduces the liability and recognizes revenue in a single action.
Every retainer maintains a complete ledger of deposits and draws in chronological order. View the entire lifecycle of a retainer at a glance -- when funds arrived, what they were used for, and how much remains. This transparency protects both your firm and your client, and it simplifies year-end reporting.
See the real-time retainer balance for every client. Know at a glance which retainers are running low and which have ample funds remaining.
Retainer accounting requires specific journal entries -- deposits credited to a liability account, draws that debit the liability and credit revenue. Kantivo posts these entries automatically so your books are always correct.
Retainer management is essential for businesses that collect payment before work begins. Kantivo's retainer system was designed with input from the industries that use retainers every day.
IOLTA trust accounting, client retainer tracking, hourly draws
Project-based retainers, monthly draws, scope-based billing
Campaign retainers, milestone draws, ongoing service agreements
Managed service retainers, monthly support hours, project reserves
Annual retainers, quarterly draws, tax season prepayment
Security deposits, maintenance reserves, owner retainers
When a retainer engagement ends with a remaining balance, Kantivo handles the refund cleanly. Issue a partial or full refund, and the system reverses the appropriate liability and records the outgoing payment. The retainer is closed, the books balance, and both parties have a clear record of the final settlement.
Start your free 30-day trial. Retainer management included on Professional plans and above.