Virginia retainage

Retainage in Virginia — Sources checked

Who and what this applies to

Public construction contracts and subcontracts under Code of Virginia 2.2-4333.

Thresholds and scope

The progress-payment retainage ceiling is 5% of the amount earned.

The rules

  • Section 2.2-4333(A) requires public construction contracts to provide progress payments based on a percentage or stage of completion and permits retention of no more than 5% of the amount earned for work done and materials or equipment delivered to the site. Source
  • Section 2.2-4333(B) requires corresponding progress-payment and 5% retainage limits in public construction subcontracts. Amounts withheld may be included in the final payment. Source

Deadlines

This statute supplies the public-contract cap; it does not establish a universal private-contract cap.

Primary sources

Sources reviewed 2026-09-30. This guide covers the projects and rules stated above.

Not legal advice. This is general legal information. Laws and project facts differ; confirm the applicable requirements for your project.

Back to Virginia contractor law · Retainage topic guide.

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