Payment Terms Explained

Common payment terms

Net 30 means full payment is due 30 days after the invoice date. Net 15 and Net 60 use the same logic with shorter or longer windows. Due on receipt means payment is expected immediately. Some B2B clients require Net 45 or Net 90.

How to calculate due dates

Start from the invoice date, not the date the customer opens the email. Use the payment due date calculator to convert Net 15, Net 30, or custom terms into an exact calendar date for your invoice.

Late payment and deposits

State late fees only if your contract allows them and local law supports them. For large projects, consider milestone invoices or a deposit invoice before work begins, then a final invoice for the balance.

How to create your invoice

1. 1. Add business details

   Enter your company name, address, and logo. These appear at the top of the invoice.

2. 2. Add customer and line items

   Describe what you sold or the payment terms explained services provided. Include quantity, rate, and tax where applicable.

3. 3. Download your PDF

   Review the preview, then download a print-ready PDF to email or send to your customer.

Common mistakes to avoid

• Missing invoice number or date, which makes tracking payments harder.
• Unclear line item descriptions that do not match what the customer expected.
• Forgetting payment terms or bank details, which delays payment.
• Incorrect tax treatment for your customer location or service type.