Course 11
Invoicing, Payment, and Cash Flow
Teaches users how contractors get paid, why invoices get rejected, and how cash flow can break a contract even when the price looks profitable.
What This Course Helps You Do
- Understand proper invoice requirements.
- Connect performance, acceptance, receiving, and payment.
- Use invoice status, CLIN, and funding trackers.
- Forecast first 90 days of cash and payroll float.
Templates
Module 1Payment Mindset
2 lessons
Lesson 1
Award Is Not Payment
The contractor may need to perform, submit deliverables, receive acceptance, submit a proper invoice in the right system, attach support, and pass review before payment.
Lesson 2
Profit Is Not Cash Flow
A contract can be profitable on paper but still require payroll, materials, insurance, equipment, subcontractors, and compliance costs before payment arrives.
Module 2Proper Invoices and Acceptance
2 lessons
Lesson 1
Proper Invoice
A proper invoice includes required information such as contractor name/address, invoice date/number, contract/order number, CLIN, description, quantity, unit price, total, period, remittance, and required support.
Lesson 2
Submission Is Not Acceptance
Government acceptance may require inspection, receiving report, deliverable approval, service confirmation, quantity verification, or COR review. Acceptance can affect payment timing.
Module 3Payment Timing and Systems
2 lessons
Lesson 1
Prompt Payment Basics
Prompt payment rules do not fix improper invoices. Payment timing typically depends on proper invoice receipt, acceptance, and contract terms.
Lesson 2
PIEE/WAWF and Other Systems
DoD work often uses PIEE/WAWF for electronic invoicing, receiving, and acceptance. Other agencies may use portals, email, IPP, purchase card, or other systems.
Module 4Rejections, CLINs, and Subcontractors
3 lessons
Lesson 1
Invoice Rejection
Invoices are rejected for wrong contract, CLIN, amount, quantity, period, missing support, incomplete deliverables, wrong system, duplicate numbers, or unaccepted work. Correct quickly and update the checklist.
Lesson 2
CLINs, Funding, and Ceilings
Track billing by CLIN, funded amount, billed to date, remaining funds, ceilings, option CLINs, T&M ceilings, travel/material NTE, and modifications.
Lesson 3
Subcontractor Payment
Sub payment terms may include support documents, acceptance, pay-when-paid, retainage, and disputed invoice handling. Prime and sub both need cash-flow awareness.
Module 5Cash Flow and Financing
2 lessons
Lesson 1
90-Day Cash Forecast
Before bidding, model startup costs, monthly payroll, materials, subs, insurance, travel, tools, invoice date, acceptance date, expected payment, rejection risk, and cumulative cash need.
Lesson 2
Payroll Float and Financing Caution
Labor-heavy contracts may require paying multiple payroll cycles before first payment. Financing, credit lines, and factoring can help but reduce margin and create risk.
Final Exercise
- Identify invoice method, acceptance, CLINs, support docs, payment timing, and cash needs for a sample contract.
- Build invoice and cash-flow trackers.
Final Takeaway
Invoicing and cash flow are not back-office details. They are survival issues.