Tradies • Subcontractors • ATO-Compliant

Contractor invoice template for Australia

Create professional invoices for contracting and trade work in Australia. Covers progress payments, ABN validation, GST, and BSB/PayID bank details — everything you need to get paid on time.

Free for first 3 invoices • No signup required

What contractors need on their invoices

Contractor invoicing in Australia follows the same base rules as all Australian business invoicing, but with some important additions specific to trade and construction work. Getting your invoices right from the start prevents payment disputes and keeps your cash flow healthy.

Your ABN is non-negotiable — without it, the principal contractor is legally required to withhold 47% of your payment under the tax withholding rules. Your bank details (BSB and account number, or PayID) should also appear on every invoice, making it as easy as possible for the person receiving the invoice to pay you promptly.

For longer projects, invoicing in stages (progress claims) is standard practice. Each progress claim should clearly describe the work completed in that period, the amount for that stage, and the total billed to date so your client always knows where the project stands financially.

AusInvoice features for contractors:

  • ABN validation using the official ATO algorithm
  • GST auto-calculation (inclusive and exclusive)
  • Detailed line items for each task or material
  • BSB / Account Number / PayID bank details
  • Invoice number tracking for progress claims
  • Payment terms and due date fields

Required fields for contractor invoices

Business name / trading name

Your registered name or trading name

ABN

Validated against the ATO algorithm — mandatory

Invoice number

Unique, sequential numbering for each invoice

Invoice date

Date the invoice was issued

Description of work

Detailed breakdown of labour, materials, and tasks completed

Quantities and rates

Hours, units, or m² at the agreed rate per unit

GST (if registered)

"Tax Invoice" heading and 10% GST on taxable items

Total amount payable

Subtotal, GST, and total clearly shown

Payment terms

Due date or payment period (e.g. 7 days, 14 days)

Bank details

BSB + account number, or PayID for instant payment

Progress payments and staged invoicing

For larger projects, invoicing in stages is the norm. Here is how to structure progress invoices correctly.

Stage 1

Deposit / Commencement

Many contractors invoice a deposit (often 10–30%) before work begins. This deposit invoice should clearly state it is a deposit for the project and reference the contract or quote number. Some contracts prohibit excessive upfront payments — check your contract.

Stage 2–N

Progress claims

Issue a progress claim at each agreed milestone or time period (fortnightly, monthly). Each invoice should describe the work completed in that period, reference the total contract value, show what has been billed to date, and calculate the balance remaining.

Final

Final invoice / Practical completion

The final invoice is issued when the work is complete. It should show the total contract value, all amounts previously invoiced and paid, and the final amount outstanding. If a retention applies, note the retention amount and when it will be released.

Getting paid: include your bank details

One of the most impactful changes you can make to get paid faster is to include your bank details on every invoice. Your BSB and account number, or a PayID (mobile number or email), allow the payer to transfer funds immediately. Without bank details, even a willing client has to look up your details separately — which creates friction and delays. AusInvoice includes dedicated fields for BSB, account number, and PayID.

Contractor invoice FAQ

What do contractors need to include on an Australian invoice?
Australian contractors must include: their name or business name, ABN, invoice number, date, a description of work completed, quantities and rates, total amount, payment terms, and bank details (BSB/account or PayID). If GST-registered, the invoice must also include the words "Tax Invoice" and the GST amount. For subcontractors, the principal contractor may also require your licence number.
Can a tradie invoice without an ABN?
You can issue an invoice without an ABN, but the payer is legally required to withhold 47% of the payment under the no-ABN withholding rules. For most contractors, this makes operating without an ABN very difficult in practice. Apply for an ABN free at abr.business.gov.au before you start invoicing.
How do progress payments work on invoices?
Progress payments are partial payments for work completed at defined milestones or time periods. Each progress payment should be documented with a separate invoice clearly stating the stage of work completed, the amount for that stage, and the cumulative total billed to date. AusInvoice lets you add detailed line items to make progress invoicing clear.
Should a subcontractor invoice include a retention amount?
If a retention clause applies to your contract (common in construction), you should show the retention amount clearly on the invoice — both the amount withheld and the cumulative retention held to date. This helps maintain a clear audit trail when the retention is eventually released.
What is the difference between quoting and invoicing?
A quote is an offer to perform work for a specified price — it is not a request for payment. An invoice is a demand for payment for work already completed or agreed. Quotes typically have an expiry date and become binding when accepted. Invoices must include your ABN and (if GST-registered) be formatted as a tax invoice.

Create your contractor invoice now

Professional invoices with ABN, GST, and bank details. Free for your first 3.