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Job deposit calculator
A deposit is the agreed share of the price paid before work starts; the rest is the balance. For a $2,400 painting job, a 30% deposit is $720 and the balance is $1,680. On home-improvement work, check your state before you set the percentage: California caps the down payment at 10% of the contract or $1,000, whichever is less.
Split the deposit
Example numbers
Enter the deposit agreed with your customer, as a percentage or dollar amount.
- Agreed total
- $2,400.00
- Deposit
- $720.00
- Remaining balance
- $1,680.00
Deposit = total × deposit percentage. Balance = total − deposit.
How much deposit should you ask for?
Enough to cover what you spend before the job pays you: special-order materials, a rented machine, a crew day you turn other work away for. Short jobs with stock materials often need no deposit at all, or a small booking fee. Ask for the same percentage every time, so it reads as your policy rather than a judgment about the customer.
Put the deposit on the quote, with what it pays for and whether it is refundable if the customer cancels. A deposit the customer agreed to in writing is far easier to keep than one you asked for in a text.
Are there legal limits on contractor deposits?
For home improvement, some states set them. California’s Contractors State License Board says a down payment should never exceed 10% of the contract price or $1,000, whichever is less, unless the contractor has a blanket performance and payment bond on file. Massachusetts limits a deposit to one-third of the contract price, or the cost of special-order materials if that is more.
So on a $2,400 home-improvement job in California, the most you can take up front is $240 (10%), not $720. On a $15,000 job the cap is $1,000, because 10% would be $1,500. In Massachusetts the same $2,400 job allows up to $800, one-third of the price. Other states have their own rules; your state’s contractor licensing board publishes them.
How do you show a deposit on the invoice?
Keep the full job price on the invoice and show the deposit as a payment received, not as a negative line or a discount. The customer sees $2,400 of work, $720 paid and $1,680 due. If you asked for a deposit and it never arrived, it does not go on the invoice as received.
Example: a $2,400 painting job
With a 30% deposit: $2,400 × 0.30 = $720 up front, and $2,400 − $720 = $1,680 due when the work is done.
With a fixed $600 deposit instead, the balance is $1,800. If the job is a California home improvement, the deposit can be no more than $240, which leaves $2,160 for progress payments and completion.
Frequently asked questions
Is a deposit refundable if the customer cancels?
Your quote decides, so write it down before you take the money: whether the deposit is refundable, until when, and what part pays for materials already ordered. If you say nothing, expect to argue about it.
Should the deposit include sales tax?
Work it out on the same total the customer accepted. If the quote shows tax, take the percentage of the total with tax, so the deposit and the balance add up to exactly what the customer agreed to pay.
What is the difference between a deposit and a retainer?
A deposit is part of the job price, paid early and credited on the final invoice. A retainer, common with freelancers and consultants, reserves your time or is drawn down as you bill hours. On a quote for a job, call it a deposit.