Contractor Invoice Template
Free AI-powered contractor invoice template. Invoice for construction, renovation, home improvement, and general contracting.
Sample Contractor Invoice
INVOICE
INV-001
Your Business Name
you@example.com
123 Main St, City, State 12345
Bill To
Client Company
client@example.com
456 Oak Ave, City, State 67890
Issue: 2026-04-19
Due: 2026-05-19
Terms: Progress payments per milestone
| Description | Qty | Rate | Amount |
|---|---|---|---|
| Bathroom renovation — demolition and framing | 1 | $3,500.00 | $3,500.00 |
| Plumbing rough-in (subcontractor) | 1 | $1,800.00 | $1,800.00 |
| Materials — tile, fixtures, vanity | 1 | $2,200.00 | $2,200.00 |
What to Include in a Contractor Invoice
Contractor invoices need to track project milestones, separate labor from materials, and document change orders clearly for both legal protection and client transparency.
Key Elements
Your business details
Name, address, email, and phone number
Client information
Full name or company, billing address
Invoice number
Unique sequential number for record-keeping
Service description
Detailed line items of work performed
Payment terms
Progress payments per milestone is standard for contractor
Total amount due
Including any applicable taxes
Tax Considerations
Construction contracts are taxable in most states. Materials and labor may be taxed differently.
Payment Terms
Standard for contractor: Progress payments per milestone. Consider offering 2% early payment discounts to incentivize faster payment.
Frequently Asked Questions
How should contractors structure their invoices?
Use milestone-based invoicing: break the project into phases (demo, rough-in, finish work) and invoice at each milestone completion.
Should I separate labor and materials?
Yes — always itemize labor, materials, subcontractor costs, and permits separately. This is standard practice and often legally required.
What payment terms are standard for contractors?
Common: 30% deposit, then progress payments at milestones, with 10% retention released 30 days after completion.
How do I handle change orders on invoices?
List change orders as separate line items with approval date. Reference the original contract and change order number for clear documentation.