You have booked the time, turned down another enquiry and started collecting ideas. The project is real in your calendar, even if no money has moved yet. That is often the moment people wonder whether they should have asked for a deposit.
There is no single percentage that fits every job. The more useful question is how the payment schedule should reflect the commitment, costs and stages of the actual work.
Start with the purpose, not a magic percentage
An upfront payment might relate to a booking commitment, early project work or agreed materials. A milestone payment might follow a particular delivery or approval. Explain the purpose rather than selecting a percentage just because you saw it in another freelancer’s contract.
A short task with no upfront costs may need a different arrangement from a long project that ties up weeks of capacity. Consider what the client needs to understand and which risks the schedule is intended to address.
Talk about payment before the project becomes urgent
Include the proposed schedule in the quote or agreement. Tell the client whether work or booking confirmation depends on receiving a specified payment, and how you will acknowledge it. Let them raise their procurement requirements while there is still time to plan.
For example: ‘The proposed schedule is an initial payment on acceptance and a second payment at the agreed handover milestone. I’ll set out the amounts and timing in the quote.’ That opens a clear conversation without implying that any particular arrangement is already agreed.
Make the arithmetic easy to follow
For an invented A$2,000 project, the parties might agree an A$600 initial payment and a later A$1,400 balance. Once the A$600 is received, the payment records should make it clear that the customer is not being asked for another A$2,000.
These figures are arithmetic examples, not a suggested deposit rate. Keep the total project price, each payment request and the remaining balance connected. How deposits are invoiced and recognised for tax or accounting may need your bookkeeper’s or registered tax agent’s input.
Be careful with cancellation and refund wording
Do not assume that calling a payment ‘non-refundable’ settles every question. The agreement, consumer rights and industry-specific rules can affect what happens when a booking changes, work is cancelled or a service is not supplied as agreed.
For building, construction and other regulated work, deposit limits and contract requirements may apply. Get advice suited to the work and jurisdiction. This article is a discussion guide, not a deposit clause or an assessment of what you can retain.
Keep the handover calm
Confirm receipt of payments and keep them linked to the project. Before requesting the balance, check the agreed milestone, completed work, approved changes and earlier payments. A clear breakdown makes the final invoice much easier to recognise.
You can be welcoming and have a clear payment process. When the schedule is visible from the start, both you and the client have fewer things to guess about later.