Best Invoicing Software for Contractors

What contractors need from invoicing software
The tools

The right invoicing software for a contractor turns an approved estimate into an invoice, lists labor and materials as separate lines, handles a deposit and the balance, and lets you invoice and take payment from the job site. All five tools below describe estimates and online payments on their own pages. They differ in how they handle deposits, payments split across a project, and billable materials.

Billed publishes this page and is listed first. The other tools are listed alphabetically and aren't ranked. Every detail comes from each vendor's own pages, opened on October 29, 2026. Features and plans change, so check each vendor's site and pricing page before you sign up. This page doesn't list prices.

What contractors need from invoicing software

Estimates that become invoices once the customer approves the work.
Itemized lines for labor hours and each material, with units and quantities.
Deposits and later payments, if you collect money before or during a job.
Payments split across a project, for longer jobs billed in stages.
Invoicing from a phone at the job site.

The tools

Billed

From Billed's own pages:

Estimates to invoices: its estimating software page describes "converting approved estimates into invoices with just a few clicks". It adds: "Enhance your estimates with attachments and customize units and quantities for each product."
Saved items: its invoice software page says you can "save the products and services you sell so you can pull them into an invoice instead of retyping them."
Payments: "Connect your Stripe account and every invoice you send gets a pay button, so clients can pay by card. Connect PayPal to add a PayPal option as well. When a client pays by check or cash, record it as an offline payment so all your income is in one place."
On a phone: its mobile app page says you can "Create invoices, send estimates" and "track time, and get paid" from your phone.

Plans are on Billed's pricing page.

FreshBooks

From FreshBooks' invoicing page:

"Request deposits on estimates and offer flexible payment options like Buy Now, Pay Later so you can cover costs, protect cash flow, and start projects with money in hand."
"Use our tools to track your hours and client expenses, then turn them into professional invoices in seconds so every bill reflects the full value of your work."

QuickBooks Online

From QuickBooks' invoicing page:

"Progress invoicing makes it easy to split up estimates into multiple invoices based on project milestones, stages, or the percentage of work completed." QuickBooks says this is available "on Plus and Advanced".
"Collect deposits ahead of time, so you don't have to front the cost of a job."
"Automatically track the total amount on an estimate, how much has been paid, and how much is still owed."

Square Invoices

From Square's invoices page:

"Convert accepted estimates to invoices automatically and request payment from your customers instantly."
"Request a deposit to secure your customer's commitment. Set a separate due date for the remaining balance easily."
"Schedule multiple payments for any job on a single invoice and base payments on specific milestones or phases."

Zoho Invoice

From Zoho Invoice's product page:

"Once approved, automatically convert them into invoices," referring to custom quotes.
"Record billable expenses like fuel charges and raw material costs, and convert them into invoices."
"Invoice your customers through an email, SMS, or as a PDF on WhatsApp or iMessage."

Worked example (sample figures)

A sample contractor, invented for this example, finishes a bathroom remodel. The customer paid a $1,000.00 deposit before work started. The final invoice lists each line:

Labor: 32 hours × $65.00 = $2,080.00
Tile: 120 sq ft × $8.50 = $1,020.00
Fixtures: 1 set × $640.00 = $640.00
Subtotal: $2,080.00 + $1,020.00 + $640.00 = $3,740.00
Less deposit already paid: −$1,000.00
Balance due: $3,740.00 − $1,000.00 = $2,740.00

Listing hours and each material with its quantity and unit price lets the customer check every line against the estimate. This example leaves out sales tax; ask your accountant whether it applies to your work.

How to choose

List how you bill: one invoice at the end, a deposit and a balance, or payments by stage.
Check each must-have on the vendor's own pages: estimates, deposits, payments by stage, itemized materials and mobile invoicing.
Check the price on each vendor's pricing page, and which plan includes the features you need.
Try it on a real job: create the estimate, convert it, record the deposit and send the final invoice.

When this guide isn't for you

If you're a general contractor managing subcontractors, retainage and formal pay applications, you may need construction-specific software. Check whether a platform's own pages describe those. For figures on construction billing, see construction billing statistics.

Frequently Asked Questions

What features should contractors look for in invoicing software?

Estimates that convert into invoices, itemized lines for labor and materials, a way to handle deposits and balances, payments split across a project if you bill in stages, and invoicing from a phone. Check each feature on the vendor's own pages.

Which of the other tools on this page describe billing a project in stages?

Among the other tools on this page, QuickBooks describes progress invoicing, which splits an estimate into invoices by milestone, stage or percentage complete, on its Plus and Advanced plans. Square describes scheduling multiple payments on a single invoice by milestone or phase.

How do I invoice the balance after a deposit?

List the full cost of the job and subtract the deposit already paid. In this page's sample, $3,740.00 of labor and materials less a $1,000.00 deposit leaves $2,740.00 due.

Can I bill materials as separate line items?

Yes. Billed's estimating software page describes customizing units and quantities for each product, and Zoho Invoice describes converting billable expenses, such as raw material costs, into invoices.

How much does contractor invoicing software cost?

This page doesn't list prices because they change. Check each vendor's pricing page and which plan includes the features you need.

Was this article helpful?

Best Invoicing Software for Contractors: Estimates, Deposits and Payments