Episode 61

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Published on:

13th Jun 2026

Construction Schedule: Control Timeline & Budget

Construction schedule mistakes are one of the most common reasons projects finish late and run over budget. Most homeowners never see a real construction schedule before they sign a contract—and that missing document ends up costing them thousands in delays, rushed decisions, and money that runs ahead of completed work.

GET YOUR CONSTRUCTION SCHEDULE CHECKLIST FOR FREE!

In this episode, Bill Reid explains why the construction schedule is the keystone of your entire construction contract. It is not just a start date and an end date. A real construction schedule is five things at once: foresight, planning, material ordering at the right time, getting the right people on site in the right order, and communication so everybody knows what is coming next. Pull that keystone out, and the project falls apart.

WHAT YOU'LL DISCOVER

Bill walks you through how expert contractors actually build construction schedules using real scheduling software. You will learn how the software works backward from install dates to calculate order-by dates for every special-order item on your job—windows, cabinets, tile, stone, fixtures. That February thirteenth order-by date is not a guess. It is the schedule thinking.

You will see why material procurement is one of the biggest causes of construction delays—and how a real construction schedule prevents the panicked Thursday phone call where your contractor asks what tile you picked because they need it on site Monday. When the schedule maps out every order-by date weeks or months in advance, you know your decision deadlines and you are never the reason your own project stalls.

Bill explains the critical path—the concept that some things have to happen before other things can happen. You cannot set countertops until cabinets are in. You cannot close walls until wiring and plumbing pass inspection. The construction schedule maps that order out. When the critical path breaks, something always gives: timing slips, cost goes up, or quality drops. Sometimes all three at once.

You will learn exactly what to look for when you read a construction schedule before signing a contract. Four things: the completion date, order-by dates for your selections, inspection milestones, and whether the whole thing hangs together or looks like three lines somebody typed to make you feel better. Bill shows you what a weak schedule looks like versus a real one—and why a contractor who can show you a detailed schedule has actually estimated your job, while a contractor who cannot has mostly guessed at it.

PAYMENT SCHEDULES AND CONSTRUCTION SCHEDULES ARE THE SAME DOCUMENT

The second half of the episode reveals the part most homeowners miss: your payment schedule and your construction schedule are not two separate things. They are the same document wearing two different hats. Once you see that connection, you will never look at a contract the same way.

Bill walks through the golden rule: you pay for work that has been completed, not work that is promised. In a fixed-price contract, the milestones on your construction schedule become your payment triggers. Demolition complete—payment one. Concrete underfloor done—payment two. Framing up, rough-in inspection passed, cabinets installed—each milestone is tied to a payment. You can walk in, see the work is done, and write the check knowing exactly what you paid for.

In a cost-plus contract, the construction schedule plays a different but equally important role. It becomes your monitoring tool, your dashboard. You line up the money you have paid out against where you are on the schedule. If you have paid forty percent of the budget but the schedule says you are only a quarter of the way through, that is your early warning light. The schedule tells you whether your money is moving too fast—before it gets too far ahead of the work.

Bill explains the work breakdown structure, the tool that breaks the cost of the job down the way the project actually flows: site prep, demolition, foundation, framing. Each piece of work becomes its own line with its own dollar amount following the same order as the construction schedule. You are never arguing about what the work is worth. You just look at what is done and pay for it.

You will learn why holding retention back until final acceptance is your leverage at the finish line—and why deposits for special-order materials are fair when they align with the schedule's order-by dates, but deposits just to buy lumber are a red flag.

MENTIONED IN THIS EPISODE

Episode 53 - The Bid Package - Bill explains the complete specifications and plans that make a real construction schedule possible. A schedule is only as good as the plans it is built on. Vague plans mean a fictional schedule.

Episode 57 - Cost-Plus Contracts - Bill walks through cost-plus agreements and the not-to-exceed number. The construction schedule is your dashboard for keeping cost-plus budgets from running away.

Episode 60 - Change Orders - Every change order moves the construction schedule. This episode shows you how to track those shifts so time and money stay aligned.

Mentioned in this episode:

The Awakened Homeowner Book

The Awakened Homeowner Book

Transcript
William Reid (:

Hey everybody, welcome back. And I want to start today with a phone call. You may have lived this one. It's a Thursday, you're at work, and your phone buzzes. And it's your contractor. And his voice has that edge to it. And he says, Hey, quick question. What tile did you pick for the master bath? Because I need it on site Monday. And your stomach drops because you haven't picked out the tile. You didn't know you needed to, and nobody told you Monday was the deadline, and now you're scrambling. And whatever you grab in a panic is what's going into your bathroom for the next 20 years.

Here's what that phone call actually is. That panic in your contractor's voice, that is the sound of a project running with no schedule. Because in a project that has a real schedule, you would have known about that tile weeks ago. That date would have been sitting right there in black and white.

So today we're talking about the construction schedule. And I know schedule sounds like the most boring word in this whole series — insurance, change orders, schedules. But stick with me here because the schedule might be the single most powerful document in your entire contract, and almost nobody reads it before they sign. And let me give you a little context for why this matters so much.

In the broader industry, most construction projects finish later than they were originally planned. Not some, most. And part of the reason is that material lead times have gotten long and unpredictable. Some specialty items have run a year or more out. So the contractors who actually hit their dates are the ones who plan the work backward from a real schedule. That's the whole game.

And actually one of the biggest contributors to a project delay is because the schedule didn't even exist to begin with. So here's the promise for the next half hour. By the time we're done, you'll know three things. You'll know why a real schedule is the fastest way to tell an expert contractor from somebody who's really just winging it. You'll know exactly what to look for in a schedule before you sign.

And this is the big one. You'll understand how your payment schedule is tied right to your construction schedule. No matter what kind of contract you signed, fixed price or cost plus, the schedule controls the money. Grab a notepad and let's dig in even further.

Let's start with what a schedule actually is. Because I think most homeowners picture a calendar with a start date and an end date, and that's it. And a lot of homeowners just focus on those two dates, and most of them focus on the end date. It is so much more than that. I call the construction schedule the keystone of the project. And if you know what a keystone is, it's the stone at the top of an arch that locks everything in place. Pull it out, and the arch literally collapses. One stone, the entire arch collapses.

A good schedule does five things at once. It's foresight. It's planning. It's ordering your materials at the right time. It's getting the right people on site in the right order. And it's really all circles around communication. So everybody knows what's coming next. Pull that keystone out, and the project falls down all around it.

Now here's the part I really want you to hear. A schedule should exist before you sign the contract. Before. Not after you've committed and the money's spent. And the reason is simple. Asking to see a schedule before you sign is the single fastest way to tell whether your contractor is an expert in their category or whether they're flying by the seat of their pants. An expert has thought this through and they should be able to show you. Because no schedule isn't just a missing document. No schedule is a missing plan. And if there's no plan, then that price they handed you isn't an estimate. It's a guess. And you're about to sign up to pay for a guess.

So let me give you the four things a schedule really hands you before you ever commit to a contractor. Write these down. Number one, it proves the project has been thought out in detail. Somebody actually sat down and worked through how this whole thing really goes together step by step. Number two, it tells you when your contractor is going to expect progress payments. We're going to spend a whole segment on that later because it's a part nobody really connects.

And number three, it identifies when certain materials need to be ordered, and that protects you because that's what stops the I need the tile Monday phone call. And number four, a real schedule exposes the almighty completion date, the day you get your house back.

You'd be amazed how many people sign a contract without a firm answer to when is this really going to be done? And that completion date isn't just nice to know. Think about what's riding on it. If you're renting somewhere else while the work happens, every week that project slips is another week of rent on top of your mortgage. And if you've got a construction loan, delays cost you in interest.

A real completion date built on a real schedule is the difference between budgeting your life around this project and just hoping it ends someday. Now there's one idea underneath all of this that I want to give you a name for, because once you have the name, you'll see it everywhere. It's called the critical path. And it just means this: some things have to happen before other things can happen. That's it.

You can't set the countertops until the cabinets are in. You can't close the walls until the wiring and the plumbing are inspected. And there's an order to it. And the schedule maps that order out. So when a contractor calls you in a panic asking for a decision they should have seen coming months ago, that's a critical path that nobody drew. And when the critical path breaks, something always gives. Either the timing slips or the cost goes up or the quality drops. Sometimes all three at once.

And I'm not trying to be dramatic here. In the broader industry, the teams that schedule with real discipline, that map out the critical path and the long lead time materials, they measurably finish closer to their dates than the ones who don't. The schedule is the tool that gets them there.

So that's what a schedule is and why it has to exist before you sign. Now let me show you how a good contractor actually builds one because how they build it tells you whether they really know your project.

William Reid (:

All right, so most reputable contractors don't build a schedule on a napkin. They use software, real scheduling programs built for this. And I want to walk you through how that schedule thinks because once you see it, you'll understand why a contractor who can show you one has actually done the work of pricing out your job.

So let me give you a real example from a project my team and I did. The schedule flagged a cell that said order the windows by February thirteenth. Now why February thirteenth? Not because somebody liked that date. It was because we planned to install those windows at a specific point later in the build, and we knew it took a certain number of weeks to get them. So the software works backwards. Install date minus lead time equals order by date, February thirteenth. That is the schedule thinking. And it's material procurement, which is one of the biggest instigators of project delays.

Not having the material. I used to call it feeding the animals on the job site. If the animals don't have any food, they can't eat anything. If the contractors don't have any materials, they can't install anything. Every special order item on your job, your windows, your front door, your cabinets, your tile, your stone, and there's a lot of these items — hundreds probably.

Every one of those has an order by date that's tied to when it gets installed and how long it takes to show up. A real schedule has all of those mapped out. And if there's no schedule, those dates don't exist, which means inevitably something shows up late and the whole job stalls waiting for it.

Also developing a material procurement part of the schedule highlights the items that need to be ordered, need to be on site, which means you now know they need to be selected and specified, because nothing can be ordered until items are specified. Now in the design process that I've talked about in the past, during the design development step two of the design process, this is the job of you and your design professionals to specify all of the materials that go into the project so the contractor can just execute and not have to prompt you to pick things out over and over and over again.

This is common practice where things do not get specified, design details do not get worked out. It's time to order the windows. They show up. There's no color specified. There's no screen style specified. There's no grid style specified. Everything comes to a screeching halt. Phone starts ringing, emails start churning, everybody has to drop everything and pull up all of the past conversations and details and start all over again. This is a common practice. Even to this day, I'm dealing with this on projects that I'm building right now.

From inadequate architectural design drawings, details, and specifications. It's a constant battle. And if you as a homeowner understand that this is commonplace where a lot of these details fall through the cracks, you now know to look out for it.

So let's make that real for you. Custom cabinets can run weeks and weeks from the day you order them. Specialty windows, even longer. So picture this, your framing's done on your house. The house is dried in, everybody's ready to keep moving, and the cabinets aren't coming for another month because nobody ordered them on time. Now your whole crew is standing around. Your subs have moved on to probably other jobs. And getting them back means waiting for their schedule to open back up again. One missed order by date can stall a project for weeks. That's the silent budget killer. And a schedule is what prevents it.

But it's not just the materials. A good schedule also schedules people. It tells your plumber weeks and even months out the day they're expected on your job. Same with your electrician, your framers, everybody. And there's often hundreds sometimes of individual people that have to be on your job, whether they're the prime contractor, the subcontractor, the suppliers, the employees of all of those entities, it can add up to a tremendous amount of people.

But one thing that homeowners do love and can experience is when a schedule is done properly, good subcontractors really love this. They genuinely appreciate a contractor who can tell them months ahead when they're needed because it lets them run their own business properly. A contractor with a real schedule attracts better subs too. And that's a quiet quality signal right there.

So if a general contractor is not preparing and iterating and updating and communicating a schedule to their team, which is their own employees and their subcontractors, their reputation slowly degrades and gets undermined. And a lot of the quality subcontractors will start to wander off and look for other opportunities. So keep this in mind that it's not a direct experience that you may feel in the beginning, but if there's no schedule or if there's an improperly managed schedule, the quality of your project could be degraded and you're not even knowing it.

And then there are the milestones that aren't really tasks at all, but absolutely have to be on the schedule. Inspections. The city or county requires inspections at specific points. For instance, after your foundation is dug and the forms are set, but before any concrete gets poured, the city has to come inspect and sign off. Miss that window, and you're tearing things apart.

On top of that, sometimes you've got third party inspections, a structural engineer coming out to check the hardware, a surveyor certifying your setbacks. All of that has to be woven into the schedule too.

So here's the bottom line in this whole segment. And it's the thing I most want you to walk away with. A contractor who can sit down and show you a real schedule has actually estimated your job. The schedule is the skeleton the whole estimate hangs on. But a contractor who can't show you one, who just hands you a number and a handshake, they haven't really priced your job. At least thoroughly enough for sure. They've done a lot of guessing at it. And there's a big difference between a price and a guess when it's your money.

Now, one important catch, a schedule is only as good as the plans it's built on. Remember back in episode 53 when we went deep on the bid package and the complete specifications? This is where that pays off. If the plans are vague, the schedule is fiction because the contractor is guessing at what work even needs to happen. Good plans, good specs, real schedule. Garbage in, garbage out.

And again, I can't emphasize enough that the investment in the proper plans and scope and specifications directly correlate with the project's success, quality, your satisfaction, meeting your expectations, maintaining your budget, maintaining your schedule, and it begins with a quality design professional team. So now you know how a good one gets built. Now let's get practical because you're going to be handed one of these before you sign. And I want you to know exactly what to look at.

William Reid (:

All right, so the contract's in front of you, where does the schedule actually live in there? And what should you be looking for? Start with the dates. A start date and a completion date belong right in your contract. In a lot of states, that's not just a good idea. It's actually required. But this is the part people miss. For a contractor to put down realistic dates, there has to be a real schedule behind them.

Anybody can write done by October on a contract. The question is whether there's a schedule that makes October really true. So here's a move I want you to make. Ask that the schedule be attached to the contract as an exhibit. Even if it's marked preliminary, that's okay. Preliminary is honest. Things will shift, but getting it attached makes it part of the agreement instead of a vague promise.

And if there genuinely isn't a schedule yet because it's early, then at the very least, get a line in the contract that says a schedule is forthcoming. If your contractor pushes back on even that, if they don't want any schedule anywhere near the contract, that's a big flag. Pay attention to that flag.

Now, what are you actually scrutinizing once you've got it in your hand? Four things. The completion date. Is it real? Or is it a fantasy? The order by dates for your selections, your tile, your cabinets, your fixtures. So now you know your deadlines. The inspection milestones. Are they on there? And whether the whole thing hangs together, or whether it's just a couple of dates somebody typed up to make you feel better.

And let me tell you what a weak schedule looks like so you can really spot one. A weak schedule is three lines long. Start, framing, done. No order by dates, no inspections, no subs, no detail. That's not a schedule. That's a wish. A real schedule has texture to it. It's got dozens of items. It shows what depends on what. And when you look at it, you can actually picture your project being built. If what you're handed feels thin, trust that instinct and ask for more.

A contractor who's truly planned the work won't be offended. They should be glad they're asked because it tells them you're going to be an engaged client. And a contractor that prepares a professional level schedule should be almost excited to actually walk you through the schedule. So in fact, you shouldn't even ever have to ask to see a schedule from a qualified high level contractor, because they're willing to offer it up front to differentiate themselves from maybe the competition.

And let's slow down a little bit on the order by dates for a second, because here's the part that surprises people too. A schedule doesn't just hold your contractor accountable, it holds you accountable too. Think back to that tile phone call from the top of the show. A lot of project delays and a lot of cost overruns aren't the contractor's fault at all. They happen because the homeowner got in the middle of the process, deferred a decision, kept changing their mind, tried to save a buck at the wrong moment, insisted on installing something they ordered themselves that showed up late.

The schedule protects you from becoming the reason your own project is late. When your decision deadlines are written down in front of you, you can actually hit them. That's why I always say this is a two-way street. A real schedule is fair in both directions. It keeps your contractor honest and it keeps you from accidentally cutting your own throat.

And one last thing on reading the schedule. Once you break ground, that schedule stops being a piece of paper and becomes a living tool. Think about planning to hike to a summit. You can plan every step, and then you hit a stretch of trail that's washed out or the weather turns on you, right? The plan has to flex. Construction is really the same situation. So the real question to ask your contractor isn't just do you have a schedule? It's how often do you update it? Because a schedule that never changes after day one isn't really being used. It's decoration.

And remember from last week, episode 60, when we talked about change orders, this is where it all connects. Every change order moves the schedule. New work takes time, pushes dates, shifts your order by deadlines. That's exactly why you keep a running eye on the schedule as those changes come in. So you can read a schedule now. You know what to demand and what to watch. Now let me show you the part that turns this from useful into powerful and how the schedule controls your money.

William Reid (:

All right, here's a thought process that a lot of contractors and even design professionals and especially homeowners don't really get. And this is the part of this episode that ties it all together. Your payment schedule and your construction schedule are not two separate things. They're the same document wearing two different hats. And once you see that, you'll never look at a contract the same way.

A payment schedule belongs in your contract, especially on a fixed price job, where in some states it's actually the law. And there's one golden rule under all of it. You pay for work that has been completed, not work that's promised, not future work, completed work. Burn that one into your brain.

Now let me show you why that one rule matters so much. Imagine two contracts for the same forty thousand dollar kitchen, although I don't think you can build a kitchen for forty thousand dollars anymore. But we'll just use that as an example. And in the first one, the payments are tied to the calendar, so much on the first of every month. In the second, the payments are tied to completed milestones on the schedule.

Now imagine the project stalls halfway through. In that first contract, you may have already paid out far more than the work that's actually been done in your house. And now your contractor is holding your money with little left to finish. In the second contract, you've only ever paid for what's physically done. You're never exposed. Same project, same contractor, completely different risk, right? That's the power of tying the money to the schedule.

So let me show you how that works in a fixed price project. In fixed price, the milestones on your construction schedule become your payment triggers. So the schedule literally determines when the payments come due. Say it's a kitchen remodel again, and here's roughly how I'd lay the payments out, tied right to the schedule, and actually even documented on the actual schedule.

There's maybe a small deposit when you sign. Then payment one when demolition is complete. Call it fifteen thousand dollars. Payment two when the concrete underfloor is done, payment three when the framing's up, then a bigger one after the plumbing electrical rough end passes inspection, and so on down the line. Mechanical, sheetrock, cabinets, counters, tile. All the way to the final payment after the city signs off and you're satisfied. Every single one of those payments is hooked to a completed, visible milestone on the schedule. You can walk in, see the work is done, and write the check knowing exactly what you paid for.

Now keep in mind the only way that this really could happen, and this is exactly how I perform my business over many decades now, over three decades, is I first generate a schedule, then I generate an estimate, and then once the final price has been determined, I go in and I insert milestone payments based on each of the logical milestones that I just described and assign a dollar amount that I can directly relate to the value of those items in my estimate.

So I'm collecting the money for work that's been done. So the schedule is just it's like a multifaceted benefit for everybody, right? So you can monitor the project during the course of construction, you can forecast your cash flow, and really a contractor should be generating this anyway in order to manage the project properly.

So early in your early stages, talking with a contractor, even when you're interviewing, you might say something like, Hey, by the way, could you show me a sample of one of your project schedules? If they can't deliver that, run. There's no point in going any further because they're not managing the projects. They're not doing what you're paying them to do.

So cost plus contracts, and again, we've spoken about these contract types in previous episodes. But Cost Plus is a little bit different, but it's not as different as you may think. And the schedule plays a different but just as important role. In Cost Plus, you're billed for the actual cost that your contractors incurred plus their fees. So usually on a regular billing cycle, right? So the schedule isn't triggering fixed payments, it's your monitoring tool, it's your dashboard.

So here's how you use that. You line up the money you've paid out against where you are on the schedule. And if you've paid out, say 40% of the budget, but the schedule says you're only about a quarter of the way through the work, that's your early warning light coming on. That's the moment to start asking questions before the money gets too far ahead of the work.

So in a fixed price job, the schedule tells your money when to move. In a cost plus job, the schedule tells you whether your money is moving too fast. And keep in mind that if you've decided to go down that slippery slope of cost plus, and your contractor comes to their bi-weekly invoicing period and they send you an invoice for rough framing and you're only about fifty percent through the rough framing and you look at your budgeted items.

So keep in mind that if you're gonna do cost plus, you still want like a high level budget by category. You can't, you should not just go into a cost plus contract blind, not knowing where all the money's going. And you should still have some kind of high-level budgets presented to you by the contractor that they're billing against.

So when an invoice comes in, you can look at the schedule, you can look at your budget. There's $50,000 budgeted for framing and there hasn't been dramatic changes or differences in the project's scope, and you're writing a check that supposedly gets you to forty-five thousand dollars worth of framing, and you look up and you look at the job site and you look at the schedule, and they haven't even put the roof on yet, you're in trouble. That's where the conversations begin, right?

So this is exactly what we were getting back at in episode fifty-seven with cost plus and that not to exceed number, right? The schedule is how you keep your finger on the pulse so the budget doesn't run away from you without anyone really noticing. And the beautiful part is it doesn't take an accounting degree to really do this. Every time a bill comes in on a cost plus job, you ask one simple question. Where am I on the schedule? And where am I on the money?

If those two numbers are walking along together, you're fine. If the money is sprinting ahead of the schedule, you slow down and start asking why. That's the entire skill. The schedule turns what feels like a black box into something you can actually read.

Now there's a tool that makes this work cleanly in both kinds of contracts, and it's worth knowing. It's called a work breakdown structure, and you've probably heard that if you're one of my loyal followers and listeners here. It's a fancy term, work breakdown structure, but it's really a simple idea. You break the cost of the job down the way the project actually flows. And maybe not you, your contractor should do this. Site prep first, then demolition, then foundation, etc.

Each piece of the work becomes its own line with its own dollar amount following the same order as the schedule. At my company, that's exactly how I break costs down for a client and I submit a payment request as each piece gets completed. So in the broader industry, you'll sometimes hear this same idea called the schedule of values, right? Same concept, just a different name.

The whole point of it is that it turns one big lump sum number into measurable payable chunks. So you're not arguing every month about what the work is worth. You just look at what's done and pay for it.

There's one more protection built into all of this. A smart payment schedule holds a little bit back, right? You take a portion of each milestone payment and you move it to the end of the project. And it's reserved until you're completely sure you're satisfied with the work. That holdback is your leverage at the finish line. It's the gentle reason everyone stays motivated through the punch list and the final details.

And honestly, a lot of good contractors will do that for you. They'll have at the very end of the progress payment schedule we'll call it due on final inspection and city approval so that you can move in and then there's a final payment that says due on completion and acceptance, which means you've moved in and you've accepted. And as a homeowner, you have to be reasonable.

There's always little tiny things that you may learn as you move in and even as you live in the home for the first year. Don't hold your final payment ransom for every single little thing, but just make sure that it's adequate enough and you trust your contractor enough to be able to call them and they'll actually call you back 'cause you still like each other, right?

Let me close the money segment with deposits, because this comes up constantly. Should you put money down up front? And here's my plain answer. For consumable materials, lumber, hardware, the stuff that could go on any job, you generally shouldn't need to. That belongs in a normal progress payment. If a contractor is asking for a deposit just to buy lumber, you may want to stew on that for a while before you write the check.

But special order materials are a different story. Your cabinets, your windows, your tile, your stone, the big ticket, long lead items, sometimes those genuinely have to be ordered and paid for before the job even starts. And notice that's exactly what your schedule's order by dates were telling you all along. The schedule just doesn't tell you when money moves. It tells you when a deposit is actually fair to ask for.

So that's the whole money picture. Now let me tie it all together with a couple of stories, and then I'll hand you a simple playbook you can use on your own project.

So let's try to give this to you in a picture because I have this fictional couple that I've been writing about in my book, and it's fun to expand on their little story. But think of it as a loop. The schedule sets your order by dates, the order by dates and the tasks set your milestones, the milestones set your payments. And then your progress against the schedule tells you whether your time and money are on track, right?

So one document doing four jobs at once, that's the keystone that you should never do a project without. So let's talk about what it could look like in real life. You remember the McMillans, if you've been following me. They're my folks who did it right. And when they got their contract, they asked for a schedule up front. And their contractor attached it as a preliminary exhibit. Real start date, real completion date. Their payments were tied to the milestones on that schedule. So they always knew what they were paying for. They knew their own decision deadlines. So they were never the cause of a delay.

And when a change did come up mid-project, because changes always come up, they could look right at the schedule and see exactly how it moved the dates and the money. No surprises. They finished close to plan. And more important, they finished without that knot in their stomach.

Then we got Ben and Jane. You know I love Ben and Jane because they teach us so much by doing it the hard way. They signed a contract with no schedule attached, none. And their payments weren't tied to any kind of completed work. They were tied to the calendar. Like a contractor just wants to get paid every two weeks, no matter what happens, right? You're gonna find people out there that wanna do that. They pay on the first of the month, regardless of what got done. So the money started running ahead of the build.

And then one Thursday they got that phone call. What tile did you pick? I need it Monday. By the time they realized their money was way out in front of the actual work, the cash was nearly gone and the kitchen was half finished, right? That is how good people with a decent contractor end up stuck. Not because anyone was a crook, because nobody set the rules with a schedule at the start.

And I want to be fair here, because this is always a two-way street. It wasn't all on the contractor. Ben and Jane never asked for a schedule. They never tied their payments to anything they could see. They just trusted that it would all work out. And most of the time with good people, it mostly does work out, which is exactly why this lesson is so sneaky. You don't feel the missing schedule on day one. You feel it on day ninety, when the money's gone and the work isn't done. The schedule is the thing that would have shown them the trouble coming while there was still time to fix it. That early warning, that's the whole gift.

Don't forget, all my loyal listeners there, if you want help thinking this through before you sign, this is exactly the kind of thing that I'm building with BuildQuest to walk you through a project. And buildquest.co is where I am taking reservations for advanced users on this software program that's gonna, I think it might change the industry a little bit. Who knows? But it's really deep into development. I've been saying that for a year now, and I'm hoping to get that launched this fall.

So here's your playbook, five moves. One, don't sign without a schedule. Preliminary is fine. Get it attached as an exhibit. Two, make sure your contract has a real start date and a real completion date. Three, tie every single payment to a completed, verifiable milestone on that schedule. You pay for done work, period. Four, hold the retention back until you're finally satisfied.

That's your leverage or look for the final payments that have been declared by the contractor and see how much those equate to the total project. You wanna be looking for anywhere from five to ten percent of the project, usually split over the final inspection and certificate of occupancy and your completion and your acceptance. And then five, ask how often the schedule gets updated and ask to see your progress against it at every payment, especially on cost plus projects.

Do those five things, and the schedule stops being the most boring document in your contract. It becomes really the most powerful. Because the schedule and the payment schedule are the same document, wearing two hats. And if you read them together, neither one can surprise you.

All right, so let me wrap this up and point you to a few things that'll help. The construction schedule is the keystone of your whole contract. It's how you tell an expert from someone who is just guessing or is an imposter. You read it before you sign. Dates, order by deadlines, inspections. And you get it attached as an exhibit and it controls your money. In a fixed price, it sets your milestone payments. And in cost plus, it's your dashboard for catching the budget before it runs away.

Five moves. Schedule before you sign, real dates, payments tied to complete milestones, hold the retention and keep it updated.

And remember, I mentioned that free download at the top of the show. And it takes everything that we talk about today and turns it into a simple tool you can use when you sit down with your contractor. The link's in the show notes, and you can grab it for free by joining the community. And I've done this over the last maybe five or six episodes, and I'm gonna try to continue doing that. Because a lot of this stuff is hard to remember. So the idea is you open up this little micro tool and you just follow the questions within probably seconds. And it's gonna help guide you on what to look out for. It's a form of checklists and guidance that's really helpful.

So you can always go deeper with these topics with my book, The Awakened Homeowner. The Scheduling Chapter plus the chapters on the schedule of payments, I lay all that out for you and you can find it on Amazon. And as always, if this episode helped you, do me a favor by leaving a review on Apple or Spotify or wherever. This is how these episodes surface more for people searching for help in construction. It's nice for me to read them too, but that's not really the purpose in this content creation business. It's about getting awareness to other people that can use this.

And I always enjoy the emails at wwreid@theawakenedhomeowner.com. And if you have any topics you'd like to cover, or maybe you're somebody who'd like to be a guest on the episodes, I would love to hear that.

So next week we're gonna finish walking through the contracts. We're gonna pick up the two pieces I set aside tonight, your insurance declarations and your plans and specs as part of the agreement. And then we'll start opening the door to managing risk, liability, workers comp, builder's risk and liens. And if tonight was about making sure your money tracks with your timeline, next week is about making sure you're protected when something goes sideways.

So until then, I'm Bill Reid, your home building coach, and I'm always here to enlighten, empower, and protect you. Now let's go make it happen.

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About the Podcast

Your Home Building Coach with Bill Reid
Your Ultimate Guide to Building or Remodeling Your Dream Home
I'm Bill Reid and I will be along your side as Your Home Building Coach. Brought to you by The Awakened Homeowner Mission— your go-to podcast for real talk about designing, remodeling, and building your dream home! Hosted by Bill Reid, who's helped coordinate the design and construction of hundreds of new homes and remodels, this show is packed with insider secrets and smart strategies to help you crush your home goals.

Building or remodeling can feel like a wild ride — but it doesn't have to be a nightmare. Here, you’ll get expert home remodeling advice, practical new home construction tips, and a full scoop on building a custom home without losing your mind (or your budget).

We’ll walk you through renovation planning, share step-by-step home remodeling guides for homeowners, and spill the tea on common home building mistakes and how to avoid them. Thinking about diving into a remodel or new build? Find out exactly what to know before starting a home renovation and how to navigate the home building process like a pro.

This podcast pairs perfectly with Bill's new book, The Awakened Homeowner — a must-read if you’re serious about creating a space that feels like home and makes smart financial sense.

Whether you're sketching ideas on a napkin or knee-deep in construction dust, Your Home Building Coach gives you the best tips for building a new custom home, real-world advice, and all the encouragement you need to stay inspired.

Ready to turn your home dreams into a reality? Hit subscribe and let's make it happen!

About your host

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William Reid

Home design and construction consultant William Reid is an extraordinary individual with an absolute passion for construction. His journey began at a young age, and at 22, he became a minority shareholder in a startup construction company with his mentor. His passion and hard work paid off, and in 1992, he launched his own company, RemodelWest, which rapidly grew into a full-service design and construction company. With decades of experience and expertise, Bill has successfully developed processes and systems meeting the demands of building and remodeling, making him a true master of his craft. Now, he is on a mission to share his wealth of knowledge, empowering homeowners to enjoy the experience of creating their new homes through The Awakened Homeowner podcast, the accompanying home building book and platform. Get ready to be inspired and energized by Bill’s incredible guide and system to build or remodel your home