Contract Labor

What is a Contract Labor Invoice used for?

You’ll want to send a Contract Labor Invoice anytime you complete work for a client and you want to get paid. Your invoice typically lists all the work you completed, any products you sold, and, most importantly, the price you’re charging.

What should I include on my Contract Labor Invoice?

Include your name (or your business’ name) as well as your address and contact information. You’ll also want to include the name and contact info of the person or company you’re sending the Contract Labor Invoice to.

Next, include details of the work you performed; i.e. the products, the service or labor you completed. Make sure you include the price for each line on the invoice. After you’ve listed all your different services, work or products, total everything up at the bottom. Depending on where you live, you may also need to apply sales tax at this point. After you’ve applied tax to the price, include a grand total – this is what you are instructing your client to pay you.

To make sure you get paid quickly, include your payment instructions and expected timeline. Let your client know how you expect to be paid and how quickly.

Do I always need to send a Contract Labor Invoice?

It’s best practice to always send your client a Contract Labor Invoice so both you and your client have a record of the work performed and the money you collected. It makes it easier at the end of the year to calculate how profitable your business was and to file your taxes. It also helps to ensure your client pays you in a reasonable amount of time.