How much retainage can be withheld on a construction project in Georgia?
Last reviewed July 5, 2026
In Georgia, retainage can be withheld up to 10% of the contract price for construction projects until substantial completion. After that, the retainage must be reduced to 2% of the remaining balance until final payment.
Key points
- Retainage up to 10% until substantial completion
- After that, reduced to 2%
- Specific to Georgia construction projects
Georgia law allows a maximum retainage of 10% during the construction phase. Once the project reaches substantial completion, the retainage is lowered to 2% of the remaining amount owed. Always check the specific contract terms as they might have different stipulations.
How Alloovium helps
Alloovium helps track retainage amounts and compliance with state regulations.
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General information for US construction professionals — not legal advice. Lien deadlines, retainage caps and notice rules vary by state; verify with the state statute or a construction attorney.