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FAQ

How should I handle partial hours worked in the invoice?

Most freelancers and consultants round to the nearest quarter-hour (e.g., 15 minutes = 0.25 hours) or bill in 10-minute increments. Include a note in the template, like ‘Time billed in 15-minute increments,’ to set clear expectations. Some tradespeople charge a minimum per task (e.g., $15 for a 30-minute call) instead of partial hours.

What payment terms work best for hourly invoices?

A common approach is ‘Payment due within 14 days of invoice date’ or ‘Net 30’ for established clients. For high-value projects, consider splitting payments—e.g., ‘30% deposit due upon signing, balance within 10 days of project completion.’ Include a late fee clause (e.g., ‘1.5% monthly interest on overdue balances’) to encourage timely payments, especially for hourly work where clients may question rates.

Should I include a breakdown of rates by service type on an hourly invoice?

Yes, especially if you offer multiple services. For example, list ‘Graphic Design: $75/hour,’ ‘Project Management: $60/hour,’ and ‘Revisions: $50/hour’ to justify your rates and avoid client pushback. This also helps clients understand the value of your time. For tradespeople, include material costs separately and label labor hours distinctly (e.g., ‘Labor: 8 hours @ $65 = $520’).

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