Free tool

Contractor deposit calculator

Enter the job price and your deposit. See what to collect up front and what’s left when the job is done.

$
%

Only if you charge sales tax on this job. Rules differ by state and type of work.

Deposit
%

Deposit to get started

$1,500.00

30% of the job total

Job price
$5,000.00
Sales tax
None
Job total
$5,000.00
Deposit
− $1,500.00
Balance on completion
$3,500.00

Text for your customer

Deposit to get started: $1,500.00 (30% of the job). Balance on completion: $3,500.00. Job total: $5,000.00.

Nothing you type is saved or sent anywhere. The deposit is figured on the total including tax, rounded to the cent.

Check your state’s rules

Some states limit how big a deposit can be on home improvement jobs, or control where the money is held. Sales tax rules also differ by state and type of work. Check with your state’s consumer protection office and tax department before you set your deposit.

General information, not legal or tax advice. Rules change and depend on the type of work, so check the official source or a professional for your situation.

Common questions

How much deposit should a contractor charge?

There’s no single right number. Cover what you have to spend before work starts, like materials and special orders, and check your state’s rules, since some states cap deposits or control where the money is held.

Is the deposit figured before or after sales tax?

This calculator takes the deposit from the total including tax, so the deposit and balance add up exactly to what the customer pays.

Send it as a real deposit invoice

Put the deposit right on your quote. When the customer accepts, Lead2Project can send the deposit request automatically, and they pay by card on the spot.

Start freeHow deposits work →

How much deposit should a contractor charge?

There’s no single right number. A deposit has two jobs: cover what you have to spend before the work starts, and show the customer is committed. Start from those two and the number usually picks itself.

What to think about

  • Materials you buy up front. If you’re ordering shingles, fixtures or custom pieces before day one, the deposit should cover them. You shouldn’t be financing a customer’s job.
  • Special orders. Anything made to measure or non-returnable is money you can’t get back if the customer cancels.
  • Job size and length. On a short repair you might ask for a small deposit or none. On a long job, consider progress payments instead of one big deposit.
  • The customer. A repeat customer you trust might get lighter terms than a first-time one.
  • The law and taxes where you work. Some states limit deposits or control where the money goes, and sales tax depends on the state and the type of job. Pick your state in the calculator to see its rules.

Put it on the quote, not in a text later

The easiest deposit to collect is one the customer saw before they said yes. Show the deposit and the balance right on the quote, and send the deposit request as soon as they accept, while the job is fresh. Use the calculator above, copy the text, and paste it into your quote or message.