201507.29
Off
1

Explaining Allowances in Contracts

To contractors, allowances in contracts may be self-explanatory, but owners often find them confusing.  A typical section on allowances may look like this: Cabinets   $10,000 Kitchen appliances  $25,000 Bathroom fixtures  $20,000 What contracts often don’t explain is, what happens when the full value isn’t used? If I only spend $8,000 on the cabinets, do…