Invoice payment terms tell the customer when the money is due. The invoice should show both the agreed term and the actual due date so nobody has to count days during a payment run.
This guide covers common UK wording for trades, worked date examples and what happens when no date was agreed.
This is general information, not legal advice. The contract or purchase order may control the payment process, especially on construction work.
Simple invoice payment terms wording
Use one of these only when it matches what was agreed.
Due on receipt
Payment terms: Due on receipt. Amount due on [invoice date].
Use this for work expected to be paid when the invoice is issued, such as a domestic call-out. It does not mean “whenever convenient”. Print the invoice date as the due date.
7 days
Payment terms: Payment due within 7 calendar days of the invoice date. Due [date].
14 days
Payment terms: Payment due within 14 calendar days of the invoice date. Due [date].
30 days
Payment terms: Payment due within 30 calendar days of the invoice date. Due [date].
45 or 60 days
Payment terms: Payment due within [45/60] calendar days of the invoice date. Due [date].
Use the exact basis written in the contract. “Net 30” can be read differently if one side thinks the count begins at month end, approval or receipt.
Worked due-date examples
| Invoice date | Term | Due date |
|---|---|---|
| 14 March 2026 | On receipt | 14 March 2026 |
| 14 March 2026 | 14 calendar days | 28 March 2026 |
| 30 April 2026 | 30 calendar days | 30 May 2026 |
| 1 June 2026 | 45 calendar days | 16 July 2026 |
| 1 June 2026 | 60 calendar days | 31 July 2026 |
Write the date on the invoice. Do not make the customer infer it from “30 days”.
Sendinvo’s payment terms setting supports on receipt, 7, 14, 30, 45 and 60 days and calculates the due date from the invoice date.
What if no payment date was agreed?
For qualifying business-to-business transactions, government guidance says payment is late 30 days after the customer gets the invoice or after the goods or service are provided if that happens later.
The government also says an agreed payment date must usually be within 30 days for public authorities or 60 days for business transactions. A longer business period can be agreed if it is fair to both businesses. Read the current late commercial payment rules.
This statutory fallback does not make it good practice to leave the invoice blank. Agree the term before work and print the due date.
Consumer jobs and specialist construction payment rules can require different handling. Get advice where the contract or customer type makes the position unclear.
30 days end of month
“30 days end of month” needs a clear calculation method. Do not assume the words mean the same thing to both sides.
One practical workflow is to date the invoice at the agreed month end and apply 30 days. An invoice dated 30 April then falls due 30 May.
If the contract says the clock begins from receipt, valuation, certification or another event, follow that method instead. Do not move the invoice date merely to create a convenient result if it would make the document inaccurate.
Sendinvo does not have a separate end-of-month option. You set the correct invoice date and choose the day term. A draft written earlier can be scheduled to send on the date it should go out.
Put terms in the quote or contract first
The invoice should repeat the agreed term, not introduce it after the work is done.
A quotation or contract should cover:
- deposit amount and due date
- payment milestones
- term for ordinary invoices
- month-end cut-off or valuation process
- documents needed for approval
- treatment of disputed amounts
- late-payment rights or contractual charges
The builders quotation template includes a payment schedule and acceptance section.
Payment terms for domestic work
For a homeowner, keep the wording direct.
Call-out: Due on receipt on completion of the visit.
Small job: 50% booking deposit; balance due on completion.
Larger job: Payments due at the stated milestones, with the final balance due after testing and handover.
If you use a deposit or stage plan, show each amount and date. Do not also print one contradictory due date for the full invoice.
Sendinvo’s deposits and payment plans gives each stage its own date and follows the outstanding stage.
Payment terms for main contractors
Copy the actual subcontract or purchase-order term. Main contractors may tie payment to an application date, valuation, valid invoice, approval or stated monthly run.
Before sending, check:
- application cut-off
- correct legal entity
- purchase-order requirement
- valuation reference
- accounts submission address
- required backup documents
- due-date calculation
A “30-day” invoice can miss the run if the supporting valuation is absent. The subcontractor invoice template sets out the full submission pack.
Terms for deposits and stage payments
A term applies to one amount. On a payment plan, each stage needs its own trigger and date.
| Stage | Trigger | Due date |
|---|---|---|
| Deposit | Quote accepted | 10 March |
| First fix | Milestone complete | 4 April |
| Second fix | Milestone complete | 25 April |
| Balance | Handover | 2 May |
Make the milestone objective. “When work is halfway complete” is harder to check than “first-fix plumbing and electrical work complete”.
For CIS subcontract work, each application is usually raised and invoiced separately rather than putting a domestic-style payment plan on one CIS invoice.
Late-payment wording
For business transactions, statutory interest may be available when payment is late. Government guidance currently states statutory interest is 8% plus the Bank of England base rate, unless a contract sets a different rate. Fixed recovery compensation may also apply.
Do not add a made-up late fee to the bottom of an invoice. Check whether the statutory or contractual route applies and calculate it correctly. Use the government’s interest and debt-recovery guidance or get advice.
A plain term can say:
We reserve our rights in relation to late commercial payment, where applicable.
If you state a specific contractual rate or fee, make sure it is part of the agreed terms rather than wording introduced only after payment is overdue.
Sendinvo can draft a separate late payment interest invoice for an overdue sterling business invoice. You review it before sending.
Make reminders follow the real due date
Do not chase day 30 when the customer is on 60-day terms. Set the term correctly before turning reminders on.
A practical sequence is:
- confirmation when the invoice is sent
- reminder shortly before or on the due date
- factual note after it becomes overdue
- firmer follow-up at the next chosen interval
Sendinvo’s invoice reminders count from the due date and stop when the invoice is paid, paused or voided.
Payment details to put beside the terms
Include:
- amount due
- due date
- bank or online payment method
- exact payment reference
- contact for invoice queries
- purchase-order or job reference
Payment terms do not help if the customer cannot match the bill or identify where to send the money.
Final payment-term check
- Was the term agreed before invoicing?
- Does the contract start the count from invoice, receipt, month end or approval?
- Is the calendar due date printed?
- Do deposit and stage dates add up to the total?
- Does the invoice use the right customer and PO?
- Will reminders wait until the payment is actually due?
- Is any late-payment wording accurate for the customer type?
Start a free Sendinvo account to set the invoice date and term, calculate the due date and keep reminders tied to the date the customer actually owes the money.