The definition of an application for payment

Updated April 17, 2017

An application for payment is a document outlining how much a party will be paid for products they have provided or services performed for another individual or company. These products or services may be in a list format with the price of each item directly to the side of each product or service. (see ref 1,2)


Applications for payment are a way for the payer to know exactly what services or products have been provided to them by the company which rendered the services or products, as well as their price. They are often seen in transactions between construction contractors and companies requesting a building or renovation project. The name and address of the parties involved may also be on the application. (see ref 1)


By listing the products and services on an application for payment, both parties can see what exactly has been performed. This may reduce misunderstandings and potentially decrease the chance of litigation. For example, if the payer disputes that a particular service listed on the application was done properly, that item may be reworked to the payer's satisfaction before payment is made.


Without a listing the services and products on the application for payment, it may be easy for companies to financially take advantage of another organisation, claiming to have completed work which was left undone.

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About the Author

A published writer since 2004, Somer Taylor has authored two fiction books through PublishAmerica and has written for various websites. Taylor has a Bachelor of Science in biology from Prairie View A&M University.