How do I enter an approved change order in Contracts?

How to enter an approved change order in Contracts.

Notes:

• This solution assumes that you did not previously enter related pending change orders in Job Cost
• This solution also assumes you are not using Project Management change management for your change orders. See DocLink: How do I create a change order using Project Management? if you use Project Management for change orders

1. Go to Contracts, File, Open Contract.
2. Select the Contract ID.
3. Click OK.
4. From the View menu, select Change Orders.
5. From the Edit menu, select Add Change Order.
6. Enter a Change Order ID.
7. Click OK.
8. Enter the appropriate information, including a Date of revision.
9. From the Edit menu, select Add Change Order Item.
10. In the Add Change Order Item window, select the appropriate contract item and click OK.
    Note: If needed, select New CN Item to quick-add a new contract item for the change order. Enter the appropriate information, and then click OK twice.
11. Enter the change order item Description.
12. Enter a value in the Amount field.
13. Click the Amount tab to enter amounts by cost type.
    Note: If adding a JC CO link, any amount entered in the Price field in Step 14 below will overwrite the amounts entered on the change order item.
14. Create the corresponding Job Cost change order items in Contracts, as follows:
    1. Select the contract change order item, and then go to Edit, Add/Edit JC CO Links.
       Note: For the Add/Edit JC CO Links to be available, you must link the contract item to a job.
    2. Click New JC Item.
    3. Information prefills from the entries you made on the Contract change order item.
       • In the Price field, enter the contract change order amount
       • In the Estimate grid, enter the estimate information
    4. Click OK.
    5. Note that the Link check box is automatically selected for the Job Cost change order item.
    6. Click Close.
       Note: You can change the JC CO link until the change order is approved. To access the JC CO Link details, click on the …> box.
15. If you need additional change order items:
    1. Go to the Edit menu.
    2. Select Add Change Order Item.
    3. Repeat the above steps for each change order item.
16. When you finish with all items, select the completed change order.
17. From the Edit menu, select Approve Change Order.
    Note: You must approve a contract item before you can approve the related change order.
18. Click Yes to the continue message. The text on the change order changes to bold font. This indicates that the change order is Approved.
19. Click Start to print the Contracts Journal.

DocLink: How do I create a change order using Project Management?