How the totals are worked out
- Each line: quantity × rate × (1 + markup %), rounded once to the cent. Halves round up, so $10.005 becomes $10.01.
- Subtotal: the sum of the rounded lines.
- Sales tax: your one rate × the lines whose type you ticked (for example materials only), rounded to the cent.
- Retainage: your retainage percentage × the subtotal. It is withheld from this invoice, not added to it.
- Balance due: subtotal + tax − retainage − deposit received − previous payments.
The math runs on whole cents, not floating-point dollars, so a column of lines always adds up to the total printed under it.
What a contractor invoice should show
- Your business name, address, phone and email, plus a contractor licence number where your state requires it on bills.
- The client's billing address and, if it's different, the job site address.
- An invoice number you don't reuse, the invoice date and the payment terms (due on receipt, Net 15 or Net 30) with the due date they give.
- Each kind of cost on its own line: labor by the hour or day, materials, equipment rental, subcontractors and any approved change orders.
- How to pay you, in the notes.
Billing a large job in stages against a schedule of values? Use the progress billing pay application instead. Need a change approved before you bill it? Start with the change order template; its button drops the approved amount straight into this invoice.
Questions
Is this contractor invoice generator really free?
Yes. There is no account, no trial and no watermark beyond one small line at the foot of the PDF. The tool runs in your browser, so there is nothing for us to charge for.
Where is my invoice stored?
Only in this browser, in its local storage, so you can close the tab and come back to the draft. Nothing you type, and no logo you add, is uploaded. Clearing your browser data or pressing New invoice removes it.
How does markup work on a line?
Enter the markup percentage on the line. The amount is quantity × rate × (1 + markup), rounded once to the cent. The PDF shows the markup percentage in its own column so the client can see it.
Should I charge sales tax on labor?
It depends on your state and the kind of work. Some states tax materials only, some tax labor on certain jobs, and some treat the contractor as the consumer of materials. Pick the line types the rate applies to, and check your state's rules.
What is retainage on an invoice?
Retainage (or retention) is a percentage the client keeps back from each payment until the job is finished and accepted. This tool withholds it from the invoice subtotal and shows it as its own line, so the balance due is what you expect to be paid now.