KBA-01806: Retention Discrepancy Due to Rounding in SOV

Question:

When I select the SOV Print option on my Pay Application SOV workbook, I get the following message. What does it mean and what should I do before I invoice?

The sum of the retention by rows DOES NOT equal this Application Amount multiplied by the retention percent.
— Manual Pennies Adjustment may be required — 

Answer:

This message may appear when you select the SOV Print or Acquire Invoice options in the SOV workbook. The message indicates that, because of rounding discrepancies, the total retention may be different from the sum of retention by one or more pennies, thus affecting your Current Payment Due.

What can happen on the SOV workbook is that, as you enter amounts in the Work Completed column, Microsoft Excel uses internal currency rounding rules to determine the corresponding Work Retention.

For example, on row 117 below, the 10% retention for $3587.25 is down as $358.72, but it could also have appeared as $358.73. Likewise, on row 118 below, the 10% retention for $1460.75 is down as $146.08, but could have otherwise appeared as $146.07.

These half cents can add up.  You will notice that, in the example above, the total retention is $44,864.78 even though 10% of the SOV total ($448,647.60) should be $44,864.76.

To manually change the Application Retention:

  1. Find a row with cents that end in 5 and adjust the Work Retention amount (in column AB) by one penny (either more or less).
  2. Save, then check your totals.
  3. If you need to make another adjustment, find another row and manually change that Work Retention amount by one penny. Continue until your retention and Current Payment Due amounts are as you expect them to be.

KBA-01806; Last updated: January 5, 2021 at 14:15 pm