# Nebraska — Construction retainage limits by US state — maximum withholding percentages, release deadlines, escrow requirements, and public vs private distinctions with statutory citations

For Nebraska, public project retainage cap (%) is 10% before 50% complete; 5% after 50% complete; private project retainage cap (%) is 10% before 50% complete; 5% after 50% complete; release deadline is after substantial completion, withholding capped at 125% of estimated remaining cost; escrow required is no; milestone reduction is at 50% completion, retainage reduced to no more than 5%, recorded from its source on 2026-08-17.

- **State:** Nebraska
- **Public project retainage cap (%):** 10% before 50% complete; 5% after 50% complete
- **Private project retainage cap (%):** 10% before 50% complete; 5% after 50% complete
- **Release deadline:** after substantial completion, withholding capped at 125% of estimated remaining cost
- **Escrow required:** no _(verified: appears in the quote below)_
- **Milestone reduction:** at 50% completion, retainage reduced to no more than 5% _(verified: appears in the quote below)_
- **Statutory citation:** Neb. Rev. Stat. § 45-1204 _(our reading, not quoted from the source)_

## What the source says

> For retainage, in an amount not to exceed the amount specified in the applicable contract, which shall not exceed a rate of ten percent. If the scope of work for the contractor or subcontractor from which retainage is withheld is fifty percent complete and if the contractor or subcontractor has performed work in accordance with the provisions in the applicable contract, no more than five percent of any additional progress payment may be withheld as retainage

## Source

- https://codes.findlaw.com/ne/chapter-45-interest-loans-and-debt/ne-rev-st-sect-45-1204.html

Last verified: 2026-08-17. Review by: 2027-08-17.
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