By Adam Hicks, CooperBuild AI · November 5, 2026

How subcontractors get paid online is usually through ACH bank transfer or a card payment tied to an approved pay application — a payment link the GC or owner sends, or a portal where the sub bills against a schedule of values and collects once that billing is approved. Wires still show up on large draws, but for routine progress payments the shift is toward ACH and card instead of a mailed check.

This guide covers how that payment moves, what ACH vs card vs wire means for fees and timing, what GCs should set up before offering online payment, and what subcontractors should ask for when a GC says "we'll pay you online."

#Why do paper checks still dominate construction payments?

Construction billing is heavier than a typical vendor invoice. A progress payment usually needs an approved pay application, a schedule of values that ties to the contract, signed change orders, and often lien waivers and backup before anyone cuts a check. That culture made paper checks the default for decades. It's changing for reasons owners and GCs raise in threads like r/GeneralContractor's "Most cost effective e-payment option" (opens in a new tab): mailing a check is slow, hard to track to the right job, and out of step with every other industry. Subs want funds in a few business days; GCs want the deposit on the right invoice.

Online payment doesn't replace the pay application. It replaces the check run once the pay app is approved.

#What's the difference between ACH, credit card and wire?

Match the method to payment size and who pays the fees. Use ranges your processor publishes.

#ACH (bank transfer)

ACH moves money bank-to-bank. Processors typically charge a flat fee or a low percentage with a cap — often well under cards on a large progress payment. Settlement is usually a few business days. For most GC-to-sub and owner-to-GC progress payments, ACH is the cost-effective default.

#Credit or debit card

Cards clear faster and suit owners who want rewards points. Fees are higher — commonly a low-to-mid single-digit percentage plus a small fixed amount, depending on processor and card type. Some contractors offer ACH at no charge and pass card fees where state surcharge rules allow it. Check your processor schedule and state law before advertising a surcharge.

#Wire transfer

Wires are same-day (or near it) and still common on large closing or retainage payments. Banks charge more per wire than ACH. Use wires when speed on a large transfer matters more than fee size.

Whatever you pick, post the payment to the right pay application and job.

#How does online pay-app payment actually work?

The payment link is last. The trustworthy work happens earlier:

1. Build and approve the schedule of values. Line values and descriptions have to match the contract before the first billing. See how to build a schedule of values.
2. Submit a clean pay application. Percent complete you can defend, only approved change orders, retainage that ties to last month, and the backup the contract requires. Our GC playbook on getting paid faster covers the billing side.
3. Get the approval. Owner, architect or GC reviews and signs off. Until that happens, there is nothing to collect.
4. Send the payment option. A payment link, ACH instructions or portal invoice for the approved amount — not a guess from an email thread.
5. Apply the payment. When ACH or card clears, mark that pay application paid and push the entry to your books so AR, the job and the bank match.

If you still fill continuation sheets by hand, our pay application guide covers the fields that trip people up.

#What should GCs set up before offering online payment?

Before you tell owners or subs you accept online payment:

• Connect a real processor. Stripe and similar processors handle ACH and cards; know the fee schedule for both before you quote anyone.
• Decide who pays card fees. Put it in the contract, and confirm your state allows surcharges if you plan to use them.
• Map payments to jobs. Every ACH or card settlement should hit a specific pay application and cost code, not a generic income account.
• Keep AP and AR with the pay apps. Re-keying approved amounts into a separate payment tool is how duplicates and short pays start.
• Tell the other party how to pay. Put ACH instructions or the portal link on the approved pay app or in the approval email, not in a thread that gets lost.
• Track retainage separately. Online payment for this period's progress amount should not accidentally release retainage you're still holding. See retainage in construction.

#What should subcontractors ask for when a GC says "we'll pay you online"?

"Online" can mean a portal or a transfer from a personal account. Ask for specifics:

• Which method? ACH to your business account, card, or wire — and what fees, if any, come out of your payment.
• When does the clock start? Is payment due X days after approval of the pay app, or after the GC gets paid by the owner?
• What's the exact amount? It should match the approved pay application (less any agreed short pay), not a round number from a text.
• Who initiates? Do you send an invoice or link, or does the GC push ACH?
• Where does the remittance advice go? You need a record that ties the deposit to that pay app for your AR.

If the GC still mails checks when they get around to it, push for ACH on the next approved billing.

#Where CooperBuild AI fits

The payment link only helps if the pay application is clean and the books update when money lands. CooperBuild AI keeps estimating, job budgets, change orders, pay applications and built-in accounting (GL, AP and AR) in one system, connects to QuickBooks Online when that's where your books live, and supports online payments through Stripe (ACH and card) so an approved pay app can be collected without a separate check run.

If you're tired of approved billings sitting in limbo waiting on a mailed check, get started with free credits — no credit card needed.

#FAQ

#How do subcontractors get paid online?

Usually by ACH bank transfer or card, through a payment link or portal tied to an approved pay application. The pay app still has to be reviewed and approved first; online payment replaces the mailed check, not the billing process.

#Is ACH cheaper than credit cards for construction payments?

Typically yes. ACH fees from major processors are usually a flat amount or a low percentage with a cap, while card fees are a higher percentage of the payment. For large progress payments, that difference adds up. Confirm the exact schedule with your processor.

#Can a GC pass credit card fees to the owner or sub?

Sometimes, where state surcharge rules allow it and the contract says so. Many contractors offer ACH at no extra charge and only surcharge cards. Check your state's current surcharge law and your processor's terms before you advertise a fee.

#Does offering online payment replace lien waivers or pay-app approval?

No. Online payment is the collection step after the pay application is approved and any required backup is in. Lien waiver timing and forms still follow your contract and state rules.

#What should be on an online payment request for a pay app?

The approved amount, the project and pay-app period, how to pay (ACH or card), any fee the payer is responsible for, and remittance details so the deposit posts to the right invoice and job.