Payment Schedules for Remodeling Contractors

Design progress payment schedules that limit exposure and disputes.

Trade specific context: remodeling contractors

Remodeling jobs change frequently as owners refine scope, which can slow payment if variations are not controlled. A clear stage schedule and signed change approvals keep cash moving.

USA vs Australia terminology

Using familiar local wording in quotes, invoices, and reminders reduces confusion and helps approvals move faster.

Recommended billing model

Model: room by room milestone billing

1. Agree on payment terms and approval steps before work starts.
2. Invoice immediately when each billable stage is complete.
3. Schedule reminders before the due date and on the due date automatically.
4. Escalate overdue accounts on a clear, fixed schedule.

Common blocker and fix

Frequent blocker: allowance changes not documented

Fix: Attach the right proof and references when you send the invoice, then confirm receipt with the approver the same day.

Example: Mid-project upgrade requests are priced and approved before work starts, then billed in the next scheduled claim cycle.

Common questions for remodeling contractors

What payment schedule works for remodeling?
Use clear milestones tied to demolition, rough in, finish, and handover.

How do remodelers reduce payment disputes?
Track allowances and variations in writing before extra work begins.

Should remodelers invoice weekly or monthly?
Weekly or milestone billing is better than end of month batching.

Metrics to review weekly

• Overdue value by aging bucket.
• Average days to payment by client type.
• Reminder response rate and promise to pay completion.
• Dispute volume and resolution lead time.

Note: Regulatory requirements differ by state and country. Use local legal and accounting advice for contract and statutory compliance.

Want to automate follow-ups and get paid faster?

Invoice Chase helps trade businesses send consistent reminders with less admin overhead.