What are payment milestones, how many are safe, with real examples

The one principle to remember: the money you've paid must always be less than or equal to the value of work completed The moment you pay ahead of the work, bargaining power moves from you to the contractor

Example of an 8-milestone split (2-story house)

• Milestone 1 (10%) — Contract signed, site prepared, layout set out
• Milestone 2 (15%) — Piles, footings and ground beams complete
• Milestone 3 (15%) — 1st–2nd floor structure (columns, beams, slabs) complete
• Milestone 4 (15%) — Roof structure and roofing complete
• Milestone 5 (15%) — Walls, plastering, frames, in-wall pipes and wiring complete
• Milestone 6 (10%) — Flooring, ceilings and primer coat complete
• Milestone 7 (10%) — All MEP systems, sanitary ware, doors/windows and final paint complete
• Milestone 8 (10%) — Inspection, all defects fixed, finishing and handover

The thinking behind it

The first milestone must be small — 10–15% is a reasonable deposit. Contractors who ask for 30–40% before starting often use your money to finish old jobs — the start of the abandonment cycle

The final milestone must really exist — The last 10% is paid only after inspection and all fixes. Every house has minor defects after completion; if the money's gone, the tradespeople disappear along with their responsibility

Inspect before every payment — Visit the site yourself or send someone (hiring an engineer at 2,000–5,000 baht per milestone is far cheaper than the damage), photograph everything as evidence, and pay through channels with a record — never pay cash without a receipt

Bhoon Kharn's milestone system does this automatically: set milestones with percentages, the contractor uploads progress photos, the owner approves before paying, and everything has a full history. It's free in the project management system