What belongs in payment terms?
- Due date: by when the invoice must be paid (e.g. 14 days from the invoice date)
- Split: deposit, progress payments per phase, or payment on acceptance
- Payment methods: bank transfer, direct debit, card or payment link
- Early-payment discount (optional), e.g. 2% within 7 days
- Late payment: what applies once the deadline passes (interest, pausing work)
- Acceptance: how and by when a delivery is reviewed
Sample wording to copy
These are examples. Adjust percentages and deadlines to your industry. For high-value contracts, a legal review is worthwhile.
- “The invoice amount is due in full within 14 days of the invoice date.”
- “A deposit of 30% of the order value is due on acceptance of this quote. Work starts once it is received.”
- “The fee is payable in three instalments, each on acceptance of the respective project phase.”
- “If no feedback is given within 5 business days of delivery, the work is deemed accepted.”
- “If payment is late, further work is paused until payment is received.”
Business clients vs. consumers
Between businesses most terms are negotiable. In Germany, without an agreement a business client is in default no later than 30 days after receiving the invoice; for consumers this only applies if the invoice says so explicitly. So always put the due date on the invoice.
The biggest lever: money before work
Even the best due date helps little if payment only comes after the work is done. The safest terms secure the budget for a phase before you start and release it on acceptance. Clients agree more readily when their money doesn't sit with the freelancer until acceptance.