Deposit & Advance Invoicing Software
How to take a deposit with Billed: put the whole price on one invoice and split it into scheduled installments, a deposit first and the balance later, each with its own due date, or let the client pay partial amounts. An invoice uses one of the two.
Key Takeaways
- A payment schedule puts the deposit and the balance on one invoice: Billed's help center says "Clients can pay several installments against a single invoice."
- Each installment is a percentage or a flat amount with its own due date, and the installments add up to the invoice total.
- Partial payments let the client choose the amounts and dates instead. Billed's help center says "You can either enable partial payments or scheduled payments."
- State law can limit deposits on certain contracts. In California, Business and Professions Code section 7159.5 (checked October 30, 2026) caps a home improvement downpayment; check your state's rules.
Two ways to take a deposit on one invoice
Scheduled payments. Billed's help center says: "You can let your clients pay the amount in installments through this option. Clients can pay several installments against a single invoice." A deposit is the first installment, and the balance is the next.
Partial payments. The help center says: "You can let your clients pay the partial amount through this option." Here the client decides how much to pay and when.
You pick one per invoice. The help center's article on payment schedules says: "You can either enable partial payments or scheduled payments. Payment schedules will bind your clients to pay each installment within the due date. On the other hand, partial payments give your clients the flexibility to decide the date and amount of partial payments according to their financial situation."
Setting up a payment schedule
Price the job on an estimate first. Once the client approves, Billed's invoice software page says you can "convert an approved estimate into an invoice." Billed's help center says that after you convert, "You can add and edit any information here."
Then set up the schedule. The help center says: "Turn on the 'Scheduled Payments' option while creating or editing an invoice." Then: "Now add a percentage or flat amount and the due date of the installment." It also says "the sum of all installments should be equal to the total balance of the invoice."
On the client's side, the payment schedules article says: "They can make payments on due dates as per schedule." and "The clients can also select several payments at once to pay multiple scheduled payments in advance."
Worked example: a website build in three installments
These are sample figures, not suggested terms. A web studio quotes a website build at 6,000.00. The client approves the estimate, and the studio converts it to an invoice with a payment schedule.
Deposit: 30%, 1,800.00, due on approval. Second installment: 40%, 2,400.00, due on the agreed design sign-off date. Balance: 30%, 1,800.00, due on the launch date. The three installments add up to 6,000.00, the invoice total.
The client pays the deposit when it's due. The sample is a website build, not a home improvement contract, so the California rule below doesn't apply to it.
Deposit rules and taxes
Deposits can be limited by law. In California, Business and Professions Code section 7159.5 (as amended by Stats. 2023, Ch. 403; checked October 30, 2026) says: "If a downpayment will be charged, the downpayment shall not exceed one thousand dollars ($1,000) or 10 percent of the contract amount, whichever amount is less." It also says: "This section applies to all home improvement contracts, as defined in Section 7151."
Other states and other kinds of work have their own rules. This page doesn't cover them, or how deposits are taxed; check your state's rules and ask a lawyer or your accountant.
Getting paid and following up
Billed's invoice software page answers "How do my clients pay invoices online?" with: "Connect Stripe and each invoice gets a pay button for card payments, or connect PayPal to add a PayPal option. Payments made by check or cash can be recorded in Billed as offline payments." The same page says "After a client pays, you can send them a payment receipt."
Billed's invoice software page also says "Invoice reports show which invoices are paid, partially paid or past due." Billed's help center says: "Turn on the 'Payment Reminders' option while creating or editing an invoice." It adds: "You can set a schedule of payment reminders before and after the invoice's due date."
Deposit & Advance Invoicing in Billed
Deposit and balance on one invoice
Split the invoice into scheduled installments, a deposit first and the balance later, each with its own due date (Billed's help center).
Related Features
Explore the Billed features that power deposit & advance invoicing.
Frequently Asked Questions
Start Invoicing With Billed
Set up your account and send your first invoice with Billed.
At a glance
| You want | In Billed |
|---|---|
| A deposit and a balance on set dates | Payment schedule on one invoice |
| The client to choose amounts and dates | Partial payments |
| Clients paying ahead | Selecting several scheduled payments at once |
| To see what's partly paid | Invoice reports |
When this isn't for you
If your clients pay in full when the work is done, you don't need a payment schedule or partial payments; send the invoice when the work is finished.