# How to Process a Contract Modification in Deltek Costpoint > Source: https://netray.co/erp-help/deltek-costpoint-contract-modification > Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems. > Section: ERP Help ## Short answer A contract modification in Costpoint is a controlled change to the contract and project records: funded amount, contract value or ceiling, period of performance and sometimes billing terms. Record it against the correct project and contract with the effective date, update funding before charges exceed the old limit, keep the modification document as evidence, and verify billing limits afterward. ## Kind how-to ## System deltek ## Erp Deltek Costpoint ## Module Projects / Contract Management ## Query deltek costpoint contract modification ## Alternate Queries - deltek costpoint contracts module - costpoint process contract mod funding change - costpoint contract modification funding ceiling ## Applies To Deltek Costpoint 7.x and 8.x with the Projects and contract-related modules licensed; menu labels vary by release and configuration ## Steps ### A safe sequence for a mod **Items:** - Collect the signed modification: number, effective date, funded and total value changes, new period of performance, and any clause changes affecting billing. - Open the project and contract records in the Projects area and confirm you are on the correct project, subproject or task level. - Enter the funding change (funded amount) with the effective date, then the value or ceiling change if the mod adjusts total value. - Update the period of performance dates if the mod extends or shortens the contract. - Update labor categories, rates or billing terms only if the mod changes them, and keep rate changes dated to the effective period. - Save and re-check the project's funding, ceiling and billing limits so charges and invoices are not blocked or over-allowed. - Attach or reference the modification document and log who entered it for audit. - Run a funding status or backlog report to confirm the numbers match the signed document. ## Sections ### What a contract mod actually changes in the system **Body:** A modification can change four independent things: funding (money obligated), value or ceiling (the maximum), schedule (period of performance) and terms (rates, clauses, billing). Most errors come from changing one and forgetting the others, for example extending the period but not the funding so charges stop being billable. Costpoint stores these on project and contract setup records, and billing and revenue processing read them. That means a mod entered late changes the picture for billing already run. Enter it with the correct effective date and understand whether your process requires reversing and reprocessing revenue or billing for affected periods. ### Sequence matters: funding before charges **Body:** Costpoint can enforce funding and ceiling limits at charge entry or billing. If charges arrive before the funding mod is recorded, timesheets may be rejected or invoices held. Contract and finance teams should agree a rule: record the mod the day it is signed, not at the end of the month. If a hold has already occurred, see the page on funding ceiling overrun and billing hold. Once the mod is recorded and limits updated, released charges flow through the normal cycle and the held billing can proceed. ### Controls and audit expectations **Body:** For government work, a modification is evidence. Keep the signed document, the entry date, the user and the before-and-after values. Reviewers will reconcile funded amounts to the contract file. A data entry plus a supporting document plus a second-person check is a simple, defensible control. Avoid retroactive edits without a trail. If you must correct a prior entry, make a documented correcting entry. Use the audit trail reporting available in your release to show who changed funding fields and when. ## Pitfalls - Updating funding but not the period of performance, or the reverse. - Entering the mod after charges were rejected, then forgetting to release held items. - Using the wrong effective date, which misstates revenue and billing for closed periods. - Making the change without a second-person check against the signed document. - Overwriting values instead of preserving a history of what changed. ## Ai Angle Reconciling mods is repetitive: compare the signed document to what is entered. A grounded assistant such as ERPray can read funded, ceiling and period fields from Costpoint and flag projects where billed amounts approach funding, or where a mod document's numbers differ from the record. It is read-only by default, shows the query it ran, and does not post changes. Document retrieval can stay on-prem. ## Faq ### Where do I record a contract modification in Costpoint? **Answer:** On the project and contract setup records in the Projects area, where funding, value or ceiling and period of performance are held. Exact screen names differ by release and configuration, so follow your organisation's setup or ask your Costpoint administrator for the screen path. ### What should I update first when a mod is signed? **Answer:** Funding, because limits are enforced at charge entry or billing in many setups. Then value or ceiling, period of performance and any rate or term changes. Doing funding first prevents timesheets and invoices from being blocked. ### Can I back-date a contract modification? **Answer:** You can use the effective date from the signed document, but check the impact on periods already billed or closed. Back-dating may require reprocessing revenue or billing. Document the reason and get approval from finance before touching closed periods. ### How do I prove a modification was entered correctly? **Answer:** Keep the signed modification, a record of who entered it and when, and a funding report showing the resulting values. Use your release's audit trail reporting to show changes to the funding fields over time. ## Search terms deltek costpoint contract modification, costpoint contract mod, costpoint funding change, costpoint contracts module, costpoint period of performance, costpoint ceiling value, costpoint project funding, costpoint contract management --- Talk to an engineer: https://netray.co/contact?intent=erp_ai | Machine catalog: https://netray.co/agent/catalog.json