Renovation contractors, remodelers, and small renovation firms send invoices for kitchen, bathroom, basement, and whole-room remodels, as well as additions and repairs to existing homes. Most bills combine labor, materials, subcontractor work, permits, and debris removal, often split into several payments over the life of the job.
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Renovation work is priced several ways. Fixed-price (lump sum) contracts are common for defined scopes like a bathroom remodel, and are usually billed in milestone draws tied to stages such as demolition, rough-in, drywall, and finish. Cost-plus contracts bill actual materials, labor, and subcontractor costs plus a markup, typically 10-25 percent, or a management fee. Time and materials is used for repairs, small jobs, and unknowns found behind walls, with hourly labor rates plus materials at cost with markup. Some contractors quote per square foot for rough budgeting, but the invoice should still list actual work. Change orders are billed separately and need written approval. Subcontractors such as electricians, plumbers, and tile setters are either passed through with markup or bundled into the contract price.
| Service | Priced | Typical range |
|---|---|---|
| General renovation labor (lead carpenter) | per hour | $60-120 |
| Helper or laborer | per hour | $35-65 |
| Bathroom remodel (full, mid-range) | flat fee | $12,000-35,000 |
| Kitchen remodel (mid-range, labor and materials) | flat fee | $25,000-75,000 |
| Interior demolition and haul-away | per sq ft | $2-8 |
| Drywall install and finish | per sq ft | $2-4 |
| Tile installation (labor only) | per sq ft | $8-20 |
| Dumpster rental and disposal | per load | $400-900 |
Typical US ranges. Rates vary by region, experience, and job size.
| Description | Qty | Rate | Amount |
|---|---|---|---|
| Demolition of existing bathroom: fixtures, tile, vanity, and flooring removed | 1 flat fee | $1,800.00 | $1,800.00 |
| Drywall and cement board install and finish (60 sq ft shower and wall areas) | 120 sq ft | $3.25 | $390.00 |
| Floor and shower tile installation, labor only | 110 sq ft | $14.00 | $1,540.00 |
| Carpentry and finish labor (trim, vanity install, door) | 16 hours | $75.00 | $1,200.00 |
| Materials: tile, thinset, grout, backer board, vanity, fixtures (receipts attached) | 1 lot | $3,850.00 | $3,850.00 |
| Dumpster rental and disposal | 1 load | $550.00 | $550.00 |
| Total | $9,330.00 | ||
Notes: Milestone 3 of 4: tile and finish work complete. Balance of 10% due on final walkthrough and punch list completion. Payment due within 7 days of invoice date. Checks payable to the business name above. Any additional work requires a signed change order.
Many states require a contractor license number on contracts and sometimes on invoices, and clients use it to verify you.
Ties the invoice to the specific job and signed contract, which matters when you have several jobs for the same client.
Shows why this payment is due and keeps the draw schedule consistent with the contract.
Cost-plus and time-and-materials clients expect proof of cost, and it reduces disputes about markup.
Keeps extras distinct from the base contract price and shows written client approval.
Lets the client see pass-through costs, and permit fees are often reimbursable at cost.
Avoids confusion over how much has been paid and what is still owed across multiple draws.
Renovation contractors commonly take a deposit at signing, often 10-30 percent, though some states cap deposits on home improvement contracts, so check your local rules. The rest is billed in progress payments tied to milestones, with due dates of 3-10 days. Final payment is usually held until the punch list is done and a walkthrough is complete. Late fees of 1-1.5 percent per month are common if stated in the contract. Payment is typically accepted by check, ACH, or card, and card fees are often passed on or avoided on large invoices. Keep lien rights in mind: in many states you must send preliminary notices and file lien waivers, so confirm the deadlines where you work.
Billing at completed stages like demo, rough-in passed inspection, and drywall done keeps you from being ahead of the money while staying fair to the client.
Hidden rot, outdated wiring, and client upgrades are the main source of unpaid extras. Get a signed change order before doing the work and invoice it with the next draw.
Provide conditional and unconditional waivers where your state uses them, and get them from subs and suppliers so the client and lender stay comfortable.
For large purchases like cabinets, windows, or tile, invoice them at order or delivery so you are not financing the client's materials.
Agree on the list before the final walkthrough so the last payment is not held up by new requests.
Many contractors ask for 10-30 percent, but some states limit home improvement deposits to a set percentage or a fixed dollar amount. Check your state's contractor licensing rules before setting the deposit.
Fixed-price jobs usually use milestone draws written into the contract. Time-and-materials and cost-plus jobs are often billed weekly or biweekly because costs change as the work goes on.
Write up a change order describing the problem, the added cost, and any schedule impact, and have the client sign before you proceed. Then list it as its own line on the next invoice with the change order number.
Yes, if it is stated in your contract. Cost-plus contracts typically list the markup percentage, often 10-25 percent, and should say whether it applies to materials, subs, or both.
Refer to the contract and the punch list first. If the work is complete, send a written demand, and consider your lien rights, which in many states have strict deadlines. A local attorney can advise on your options.
Send a Renovation estimate for approval, then turn it into an invoice when the work is done.
Renovation estimate template