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Invoice Deposits: Getting Paid Before You Start

When to ask for money upfront, how to invoice for it cleanly, and how to handle the remaining balance once work is done.

คู่มือนี้ยังไม่ได้แปลเป็นภาษาของคุณ — กำลังแสดงฉบับภาษาอังกฤษ

For larger jobs, waiting until everything is finished to see any money is a real risk — for materials, for your time, and for cash flow if the project runs long. A deposit, invoiced before work begins, is the standard way to share that risk with the client rather than carrying all of it yourself.

When a deposit makes sense

Deposits are most common when:

  • Materials need to be purchased upfront — a deposit covers the cost so you're not fronting it yourself.
  • The engagement is long or the client is new — reducing the amount of unpaid work outstanding at any point.
  • The work is custom or non-refundable in effort — a deposit signals genuine commitment from the client before you invest time.

A typical range is 20–50% of the total, though larger deposits (or even full payment upfront) aren't unusual for custom work with significant material costs.

Invoicing for a deposit

Treat the deposit as its own invoice, referencing the total project cost and clearly labeling it as a deposit or down payment — not the full amount. State plainly what it covers and what remains: "Deposit (30% of $4,000 total project) — $1,200 due on acceptance, remaining $2,800 due on completion." This avoids any confusion later about how much has actually been paid.

Handling the remaining balance

When the project is complete, the final invoice should clearly show the total, the deposit already paid, and the balance actually due now — not just repeat the original total as if nothing had been paid. Our invoice discount calculator and invoice calculator can help you work out the remaining figure if the scope or price shifted slightly from the original estimate.

Put the terms in writing before you start

Whatever deposit policy you use, state it before work begins — not as a surprise on the first invoice. A short line in your quote or estimate ("A 30% deposit is required to begin work, with the balance due on completion") means the client isn't caught off guard, and gives you clear grounds to pause work if the deposit isn't paid.

A deposit isn't about distrust — it's about making sure neither side is carrying all the financial risk of a project that hasn't happened yet.