Progress Billing Software

With progress billing, you agree on a total price for a job and invoice it in parts as the work is done, instead of waiting until the end. Each invoice covers the share of the job finished since the last one, so the invoices add up to the contract price by the time the job is complete. It differs from billing by milestone, where each invoice is tied to a named deliverable rather than to how much of the whole job is done.

For U.S. federal government contracts, the Federal Acquisition Regulation (FAR 32.102, effective March 13, 2026) says "Progress payments based on a percentage or stage of completion are authorized by the statutes cited in 32.101," and that "Agency procedures must ensure that payments are commensurate with work accomplished, which meets the quality standards established under the contract." Private contracts set their own terms, so the contract with your client decides how and when you can bill.

Billed's features page says: "Manage your flat rate projects and create Invoice at any stage of the project." Billed's projects page says: "You can add as many tasks as you need in the flat rate project. Invoice your client for the project from the dashboard whenever you want." So a fixed-price job can be one flat rate project, invoiced each time a stage of the work is done.

Billed's help center says: "You can bill your clients by generating invoices within the project." For keeping track afterward, Billed's features page says "Keep all invoices related to your project in one place." and "Keep all the tasks related to projects in one place so you can quickly access them."

Each progress invoice is the share of the contract finished to date, less what you've already invoiced; the worked example below shows the arithmetic. Agree with your client how the share of work done is measured, for example by stages listed in the contract, before the first invoice goes out.

To follow a job's progress in Billed, the help article on projects says: "You can select an option that shows how you want to track the project's progress. Select an option among “Time Estimate” and “Project Budget.”"

These are sample figures, before any tax. A contractor agrees on a fixed price of 40,000.00 for a renovation, billed by the share of work done at the end of each month, and sets the job up as a flat rate project.

Month 1: the job is 25% done, so the first invoice is 40,000.00 × 25% = 10,000.00. Month 2: the job is 60% done, so the second invoice is 40,000.00 × 60% − 10,000.00 = 14,000.00. Month 3: the job is finished, so the last invoice is 40,000.00 − 10,000.00 − 14,000.00 = 16,000.00.

The three invoices come to 10,000.00 + 14,000.00 + 16,000.00 = 40,000.00, the contract price. The client pays the first by card through Stripe and the other two by check, which the contractor records as offline payments.

Some contracts let the client hold back part of each progress payment until the job is complete. For U.S. federal construction contracts, FAR 32.103 (effective March 13, 2026) says: "When satisfactory progress has not been achieved by a contractor during any period for which a progress payment is to be made, a percentage of the progress payment may be retained." Private contracts and state rules on retainage differ, so check your contract and ask a lawyer or an accountant how to show and account for any amount held back.

To agree on the contract price first, send an estimate. Billed's help article on estimates says: "You can make an estimate and then send it to your client. Your client can approve it to proceed further." Billed's invoice software page describes how you "convert an approved estimate into an invoice", and the help article on converting estimates says: "You can add and edit any information here."

Billed's payments page says "Billed integrates with Stripe to enable online payments on invoices." and "Add your Paypal account to Billed to start accepting payments via Paypal on your invoices." For checks or cash, Billed's invoice software page says: "When a client pays by check or cash, record it as an offline payment so all your income is in one place." It adds: "After a client pays, you can send them a payment receipt." For invoices that aren't paid yet, the same page says "Invoice reports show which invoices are paid, partially paid or past due, and you can see who owes you money and send them a payment reminder." and "Payment reminders can be customized."

This page doesn't cover standard payment application forms, lien waivers, the law on retainage where you work, or how to recognize revenue on a long contract. Ask a lawyer or an accountant about those.