What is an estimate?
An estimate tells a client what a job is expected to cost before any work starts. It lists the tasks or goods, their prices and the conditions, so the client can compare, ask questions and say yes. Once the work is done, the estimate becomes the basis of the invoice.
What an estimate should include
- Your business details and the client’s.
- An estimate number and the date it was prepared.
- How long the price is valid for.
- Each piece of work or item, with a quantity and a rate.
- Discounts and tax, and the estimated total.
- What is not included, the deposit you need and how changes will be charged.
How to use the estimate generator
- Enter your details and the client’s.
- Add a line for each part of the job. Totals update as you type.
- Set a “valid until” date and write your terms in the notes.
- Choose Print / Save as PDF and send the file to your client.
Good to know
- Break the job into lines the client can understand. One large figure invites haggling; itemised lines invite a decision.
- Say what happens if the scope changes, for example an hourly rate for extra work.
- An estimate is an informed guess. If you intend the price to be fixed, call the document a quote and say so.
Frequently asked questions
What is the difference between an estimate and a quote?
An estimate is an approximate price that may change as the work becomes clearer. A quote is a fixed price for a defined scope and is normally binding once the client accepts it.
How long should an estimate be valid?
Thirty days is common. Use a shorter period when your own costs change quickly, such as materials priced by the week.
Can I turn an estimate into an invoice?
Yes. Once the work is agreed and done, enter the same lines in the invoice generator and add the invoice number and due date.