Free contractor tool
Contractor deposit calculator
Enter the job total and the deposit percentage you want to take to see the deposit due now and the remaining balance. Pick a state to check common deposit limits.
Priced the job? Now get paid for it.
Collect that deposit the moment the customer says yes. Send your customer a card-payment quote with Redbud Way, collect a deposit up front, and get paid daily to your bank. Start free, and we never take a cut of your jobs. You pay Stripe card processing, with optional plans as you grow.
How much deposit should a contractor charge?
Most deposits land between 10% and 50% of the job. A practical way to set yours: cover the materials and mobilization you have to pay for before work starts, plus a little to protect against a cancellation. Smaller jobs that are mostly materials often justify 30–50%; large, multi-stage projects are usually 10–20% up front with the rest tied to milestones.
A deposit over 50% makes many customers nervous and is restricted in some states, so keep it reasonable and tie later payments to visible progress.
Deposit limits by state
Several states cap how much a contractor can collect up front on home-improvement work. A few common examples (verify your state’s current rules):
- California: Home improvement contracts: the down payment may not exceed 10% of the contract price or $1,000, whichever is less.
- Nevada: Down payment is commonly limited to 10% of the total contract price or $1,000, whichever is less.
- Maryland: Home improvement deposits are commonly limited to about one third (33%) of the contract price.
- Virginia: Deposits are commonly limited to about one third (33%) of the contract price.
Frequently asked questions
- How much deposit should a contractor charge?
- Deposits typically range from 10% to 50%. Smaller jobs (where most of the cost is materials bought up front) often run 30–50%; large projects are usually 10–20% with the rest tied to milestones. Asking for more than 50% up front is a common red flag for customers.
- Is it legal to ask for a 50% deposit?
- It depends on your state and the job type. Several states cap home-improvement deposits — for example California and Nevada limit them to 10% of the contract or $1,000 (whichever is less), and some states cap them around one third. Always confirm your state’s current rules.
- Should the deposit count toward the total?
- Yes. A deposit is a partial pre-payment of the job, not an extra fee. This calculator shows the deposit due now and the remaining balance, which together equal the job total.
- Are there card fees on the deposit and the balance?
- Yes. Stripe charges its standard fee (2.9% + $0.30) on every card payment, and the deposit and the balance are two separate payments — so the 30¢ applies to each. Tick “Customer pays by card” to see the fee on both charges and what you keep. Redbud Way adds no platform markup on top of Stripe’s rate.