Contractor invoicing guide
How to show deposits and partial payments on an invoice
See how to record a received deposit, calculate a contractor invoice’s remaining balance, and avoid confusing requested payments with money already received.
Short answer
Show the full agreed project amount on your contractor invoice, record only money you have actually received as Amount paid, and show the remaining balance. A requested deposit is not a received payment. In QuickDollar, Amount paid reduces the balance shown on the invoice; it does not collect money or verify an outside payment.
What is the difference between a requested and a received deposit?
A requested deposit is an amount you have asked the client to pay. A received deposit is money you have confirmed arrived. The distinction matters because marking a requested deposit as paid understates what the client still owes.
Agree the deposit, milestones, and final-payment terms before work starts. Deposit limits and contract requirements can vary by location and type of work. This guide explains invoice arithmetic, not what you are legally allowed to require.
- Before receipt: explain the requested deposit and payment schedule in the agreed terms or notes; do not count it as paid.
- After receipt: record the money actually received as Amount paid and keep its payment reference.
- At completion: review the full work amount and all received payments before sending the final balance.
How do I calculate the balance after a deposit?
Suppose the agreed work totals $2,000 and the client has paid a $500 deposit. With no tax or discount in this fictional example, the remaining balance is $1,500. If taxes, discounts, or approved changes apply to your real project, include them when calculating the final invoice total.
| Invoice detail | Amount |
|---|---|
| Agreed project total | $2,000.00 |
| Deposit actually received | $500.00 |
| Remaining balance | $1,500.00 |
Project total: $2,000. Deposit of $500 received and credited toward this invoice. Remaining balance: $1,500, payable by the agreed due date.
What if the client has made more than one payment?
Combine the payments you have confirmed for this invoice. For example, a $500 deposit plus a later $300 payment is $800 paid, leaving $1,200 on a $2,000 invoice. Keep the dates and payment references in your own records so you can explain the combined figure.
QuickDollar’s Amount paid field shows a combined received amount. It is not a transaction-by-transaction payment ledger, bank reconciliation, or an automatic connection to Zelle, cash, or check payments.
| Payment record | Amount |
|---|---|
| Received deposit | $500.00 |
| Received progress payment | $300.00 |
| Combined amount paid | $800.00 |
| Remaining balance on $2,000 total | $1,200.00 |
How do I enter this in QuickDollar?
Use the Amount paid field for received money, not for an invoice line-item discount. A discount changes the agreed price; a payment reduces what remains owed on that price.
- Create line items for the full invoiced work and review the total.
- Add any applicable tax and agreed discount separately.
- Enter the combined received payment amount in Amount paid.
- Confirm the live preview shows the correct remaining balance.
- Add a note explaining the received deposit or progress payments if helpful.
- Download the updated PDF or, with membership, review and send the invoice through QuickDollar.
How do I avoid double-counting a deposit?
Do not subtract the same deposit in a negative line item and also enter it as Amount paid. That would reduce the balance twice. Likewise, do not enter the full project total on a final invoice and charge for the same work again on a separate unpaid deposit invoice without clearly reconciling the documents.
If you use separate invoices for separate project stages, make it clear which work and payment each document covers. A consistent invoice number, project label, and supporting records help resolve questions. Check with your bookkeeper when you are unsure how to record a payment or credit.
Frequently asked questions
Does entering Amount paid charge the client?
No. It records an amount you have already received and changes the displayed remaining balance. QuickDollar does not process that payment.
Should I enter a promised payment as paid?
No. A promise or a client reply about payment timing is not confirmation that money arrived. Confirm receipt through the payment method you used first.
Can I record an overpayment in this field?
The builder caps Amount paid at the invoice total. Keep overpayment, credit, and refund records separately and resolve them with the client; the field is not a refund or credit-ledger tool.
Sources
Related guides
- How to create a contractor invoice without signing upCreate a contractor invoice without an account. Follow a worked example, check the required details, and download a free invoice PDF with QuickDollar.
- How to follow up on an unpaid contractor invoiceUse a clear contractor payment reminder, check the remaining balance, keep a delivery record, and understand how QuickDollar’s member-approved follow-up works.