Your contractor submits a draw request—a detailed invoice for work completed during a specific period. You have money set aside. The natural instinct is to approve it and move forward. But approving a draw request without verification is how costs spiral and disputes begin.

Why draw requests matter more than you think

A draw request is not just a bill. It is a claim that specific work has been completed and matches the contract. When you approve it, you are making a legal statement that you agree with that claim. In many contracts, approval of a draw request also releases a portion of your contingency or holdback—money reserved for problems.

I have seen projects where owners approved draw requests without inspecting the work. Three months later, they discovered that materials specified in the contract had been substituted with cheaper alternatives, or work had been done in a way that violated building codes. By then, the contractor had already been paid. Recovery was expensive and contentious.

The contractor is not trying to trick you. The problem is that they have more information about the work than you do. Your job is to close that gap before you approve payment.

Step 1: Request complete documentation with the draw request

A draw request should never arrive alone. It must be paired with evidence of what was completed. Without documentation, you are approving a story, not a fact.

• Require a detailed breakdown showing which tasks or line items from your contract were completed during this period
• Ask for photos of completed work taken from consistent angles so you can compare them over time
• Request copies of material delivery receipts or invoices for items installed during this draw period
• Ask for a progress schedule showing where the project stands relative to the planned timeline
• Request any inspection reports or permits issued for work completed in this period
• Ask for a list of any change orders that have been issued since the last draw request

Example: Your contractor submits a $45,000 draw request for framing and roof completion. You ask for: progress photos of the framed walls and completed roof deck, a receipt showing lumber delivery to the site, the building inspector’s approval of framing, and confirmation that the roof deck matches the engineered plans specified in your contract.

Step 2: Physically inspect the work before approving

Photos and paperwork tell part of the story. You need to see the actual work. Do not skip this step, even if you trust your contractor.

• Visit the site during regular work hours and spend at least 30 minutes observing the current state of work
• Take your own photos or video from the same angles as the contractor’s documentation so you can compare progress
• Look for work that appears incomplete or does not match the drawings you approved with your architect or designer
• Check for materials that look different than what was specified—different color, texture, or brand than samples you approved
• Verify that work is being done cleanly and safely, with debris managed appropriately
• If you do not understand something you see, take a photo and ask your architect or GC to explain it

Example: During your site inspection, you notice the electrical outlets in the kitchen are installed at a different height than shown on the plans you approved. You photograph them and email your architect before approving the draw request. The architect confirms this is incorrect and requires relocation. This prevents overpaying for work that will need to be redone.

Step 3: Match the draw request to your contract and budget

The draw request should line up with the work sequence in your original contract and your project budget. Inconsistencies signal that something has changed without your knowledge.

• Compare the draw request to the payment schedule in your contract—is the contractor asking for payment in the sequence you agreed to
• Check the dollar amount against the contract price for that phase or line item
• Calculate the cumulative draws to date and verify they do not exceed the total contract price plus approved change orders
• If the draw amount is higher than expected for this phase, ask why before approving
• Review any change orders issued since the last draw request and verify they are reflected correctly
• Confirm that the draw request does not include payment for items that were part of previous draws

Example: Your contract breaks the project into five phases with specific payment amounts for each. The current draw request is for Phase 2 (framing and rough-ins), which should be $60,000. The contractor submits a request for $72,000. You ask for an itemized explanation. They clarify that two change orders from the last month added $12,000 in scope. You verify those change orders were signed and approved by you, then approve the higher amount.

Step 4: Check for incomplete or deferred work

Contractors sometimes submit draws that include payment for work marked “to be completed” or deferred to a later date. You should not pay for work not finished.

• Read every line item in the draw request and verify it says “completed,” not “substantially complete” or “in progress”
• Ask the contractor to clarify which items on this draw are fully finished and which are ongoing
• Do not approve a draw that includes payment for work scheduled to happen next month
• If the contractor claims work is substantially complete but you see unfinished details, hold that portion of the draw until it is finished
• Look for notes like “pending inspection” or “waiting for approval”—these signal work that should not be paid yet

Example: The draw request includes a line item for “electrical system installation: $18,000.” Your site visit shows that rough-in wiring is complete, but outlets, switches, and fixtures are not installed. You ask the contractor which portion of that $18,000 represents finished work and which is deferred. They confirm only $12,000 of rough-in is complete. You approve only that portion and defer the remaining $6,000 until finishing work is done.

Step 5: Verify permits and inspections are current

Work that has not passed required inspections should not be paid for yet. Unpermitted work creates liability for you and complicates selling or insuring the home later.

• Ask the contractor for copies of inspection reports for any inspectable work in this draw period
• Verify that the local building inspector has approved framing, electrical, plumbing, or other systems before you pay for them
• Check your city or county permit records online to confirm inspection dates match the timeline in the draw request
• If work in this draw requires inspections that have not happened yet, do not approve the full amount until inspections pass
• Ask about any failed inspections from previous phases and verify they have been corrected

Example: The draw request includes rough electrical work. You ask for the framing inspection approval and the rough electrical inspection approval. The contractor provides the framing inspection (passed), but the rough electrical inspection is scheduled for next week. You approve 50% of the electrical line item now and hold the rest until the inspection passes.

Step 6: Document your approval and any conditions

Your approval creates a record. Write it down clearly so there are no misunderstandings later about what you approved and why.

• Do not just sign the draw request—write a brief email or memo summarizing what you verified and approved
• List any items you approved in full and any items you approved in part or held for later verification
• Note any outstanding issues the contractor needs to address before the next draw request
• Keep copies of all photos, documentation, and your approval memo in a project folder
• If you approved the draw with conditions (like “pending inspection” or “pending material sample approval”), state those conditions clearly
• Forward a copy of your approval to your architect or owner’s rep if you have one, and to your contractor

Example: You write: “Approved draw request #4 for $45,000 based on site inspection on [date]. Verified framing complete per plan, roof deck installed, and framing inspection passed. Roof inspection pending—will release final $5,000 upon passing inspection. Kitchen cabinet materials do not match approved sample—contractor to provide alternative before next draw.”

What to watch for

• A draw request that arrives without supporting documentation or photos—this signals the contractor is not tracking work carefully
• Requests to approve draws before work is physically complete (phrases like “to secure funding” or “to pay suppliers”)
• Large draws early in the project—this shifts financial risk to you if problems emerge later
• Draws that do not match the payment schedule in your contract—this may indicate scope creep or schedule changes you were not aware of
• Work that looks incomplete or rushed during your site inspection, but the draw is submitted as if finished
• Missing inspection reports for work that requires building permits and inspections
• Cumulative draws that approach or exceed your contract total before the project is complete
• Requests to approve draws retroactively (for work completed weeks or months ago)—this prevents you from inspecting current conditions

Questions to ask your contractor

These questions create clarity about what you are paying for and what remains to be done. Your contractor should be able to answer all of them without hesitation.

• Can you walk me through each line item in this draw request and confirm which work is 100% complete?
• What work from this draw request is still pending inspections, and when are those inspections scheduled?
• Are there any change orders that affect this draw request that I should know about?
• What is the next phase of work after this draw, and when will it begin?
• Are there any outstanding issues or problems from previous draw periods that I should be aware of?
• How much of the total contract amount has been paid to date across all draw requests, including this one?
• If I approve this draw, how much of the contract total remains unpaid?
• Are there any materials on site for future phases, and should those be reflected in this draw or a future one?
• Have all subcontractors and suppliers for work in this draw been paid from previous draws, or do they still have outstanding invoices?
• What contingency or holdback percentage are you retaining from this draw for final completion work?

The bottom line

Approving a draw request takes work, but it is the single most important control you have over your project budget. A 30-minute site visit and 15 minutes of document review per draw request prevents most cost overruns and disputes. Do it every time, even if you trust your contractor. The goal is not to catch dishonesty—it is to catch miscommunications and misunderstandings before they become expensive problems.