Progress billing means sending several invoices during one job, each for the work done so far. It keeps cash coming in on long jobs, and it keeps the client aware of how the job is going.
1Agree the stages first
Write the stages and the amount for each in the estimate. Typical stages are a deposit, a start, a mid-point and the finish. The client then knows what to expect.
2Show what was billed before
On each invoice, show the full job price, what was already billed and what is billed now. Then the balance left is always clear.
3Handle changes in writing
If the job changes, write down the change and its price and get it approved before you do the work. Show it as its own line on the next invoice.
4Some contracts hold back part of each payment
Some larger contracts keep back a share of each payment until the job is finished. If yours does, say so on the invoice.
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Questions people ask
How big should the deposit be?
It varies by trade and by state. Many contractors ask for enough to cover the first materials. Check any local limit on deposits.
Do I send an invoice for each stage?
Yes. One per stage, each with its own number.
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Invoice templates by trade
Sample lines and answers for each kind of work.
