Recent progress in treating the dynamically screened nature of the Coulomb interaction in strongly correlated lattice models and materials is reviewed with a focus on computational schemes based on the dynamical mean field approximation. We discuss approximate and exact methods for the solution of impurity models with retarded interactions, and explain how these models appear as auxiliary problems in various extensions of the dynamical mean field formalism. The current state of the field is illustrated with results from recent applications of these schemes to U-V Hubbard models and correlated materials.