What Is Net 30?
Net 30 means the client owes the full invoice balance within 30 calendar days of the invoice date, not 30 days after they open the email. It is the default on many B2B and commercial jobs, but residential homeowners often expect due-on-receipt or payment at completion. Here is how to write it clearly and when to use stricter terms.
Last updated: June 30, 2026
Use the Invoice Generator →Steps
- Pick terms that match the job — Small residential repairs: due on receipt or Net 15. Commercial subs: Net 30 or Net 45 per contract.
- State terms on the invoice — Label the due date and write "Net 30" in the notes or terms block so there is no ambiguity.
- Align due date with terms — Issue date June 1 → due date July 1 for Net 30. Our invoice tool sets due date automatically when you choose Net 30.
- Follow up before day 30 — Send a polite reminder at 7 and 21 days. Late fees only work if they were disclosed upfront.
Why contractors use Net 30
General contractors and property managers expect monthly cycles. Net 30 fits their AP process. It also signals you run a professional operation, not a side gig invoicing from memory.
The downside: you finance materials and labor for a month. On thin margins, require deposits on large jobs regardless of Net 30 on the final balance.
Writing terms on the PDF
Example: "Payment terms: Net 30. Due date shown above. Late balances may incur 1.5% monthly service charge after 30 days."
Our invoice builder includes Net 15, Net 30, and due-on-receipt presets and prints the due date on the PDF header block.
Estimates vs invoices
Net terms apply to invoices, not estimates. Estimates use a valid-until date instead. After the customer approves, convert the estimate to an invoice with Net 30 due date in one click.
Common questions
Is Net 30 business days or calendar days?
Unless the contract says otherwise, Net 30 usually means 30 calendar days from the invoice date. Some enterprise contracts specify business days, read the PO.
Net 30 vs due on receipt?
Due on receipt means payment is expected immediately (often upon completion). Net 30 gives the client 30 days, common on commercial accounts, riskier on one-off residential jobs.
What is Net 15 or Net 60?
Same pattern: balance due 15 or 60 days after invoice date. Pick shorter terms for new clients; longer terms only when the contract pays better or the client is proven.