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Best Practices for Invoicing my Clients

ron1609

Updated: Nov 18, 2024




Estimates are the first step in the remodeling process in terms of determining cost. I get it; I know cost is important to my clients, and it's important they know what the job could possibly cost.The second step is invoicing. Customers should be able to look at contractor-provided invoices and understand their bill. That's why my invoices use line itemization to make sure my clients know what they're paying for.


With smaller jobs (1-3 days), clients can expect a line itemized bill when I'm finished. It will include materials (if any were needed) and labor. It could also include trash if I have to take debris to the solid waste facility, which always includes a fee.


Larger jobs, however, jobs that are a week or longer, are billed once a week until the final bill is presented. Each week, I itemize the materials purchased and my labor; if I used a subcontractor, like an electrician, their cost will be included. If an engineer was consulted and/or did work for the job, their fees are in my bill as well.


There are jobs where I need to ask for a certain amount of money upfront for certain materials, like cabinets, that require money to be paid upfront. My clients will see, however, where their upfront money goes.


Because I'm a service-based provider, I don't add tax to my bills.


And when it's time to pay me, I offer several ways: cash or check; clients can also pay through Intuit, my accounting software. This is an online bank transfer and, for me, it has a low processing fee, which I don't pass on to my clients. I also accept credit cards for a 3-3.5% fee, based on the card.


One of my values as a contractor is my honesty, and I want my clients to clearly understand where their money goes. This is why my invoices are easy to read and itemized line by line. I value my clients and the money they have to spend, and I do my best follow my estimate.


Remember though, if a client makes changes and adds work that isn't part of the original estimate, costs will change as well, including labor. If a budget is involved, clients should keep estimate changes to a minimum.


I hope this helps my clients understand my estimates and invoices. As always, let me know if you have questions.



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