How to Set Up Fees, Payment Schedules, and Terms on an Invoice

Learn how to configure taxes, freight, discounts, payment schedules, terms and conditions, and internal invoice notes.

Written By Gemma DeMasi

Last updated About 1 month ago

Beyond line items, invoices support a range of financial configuration options including taxes, freight, discounts, payment schedules, and terms & conditions. Configuring these settings correctly helps clients clearly understand what they owe, when payment is due, and any conditions associated with the invoice.

Adding Taxes and Fees

Taxes and additional fees can be applied at the invoice level or directly to line items depending on your workflow.

Common fee types include:

  • Tax Rates — Apply percentage-based tax to taxable items. Tax rates can be configured globally in your account settings or adjusted directly on the invoice.

  • Freight / Shipping Fees — Add shipping, delivery, or freight charges to the invoice total.

  • Additional Fees — Add custom charges such as handling, installation, procurement, or administrative fees.

Additional fees can be added as manual line items or configured through products and services in the library.

Applying Discounts

Discounts can be applied at the invoice level as either:

  • A percentage discount

  • A flat dollar amount

Invoice-level discounts are entered in the totals section of the invoice editor and automatically update the invoice subtotal and total calculations.

If you need to discount only a specific item, adjust the line item pricing or markup directly instead of using a global invoice discount.

Setting Up a Payment Schedule

Payment schedules allow large invoices to be divided into multiple installments with separate due dates.

To create a payment schedule:

  1. Open the invoice editor

  2. Locate the Payment Schedule section

  3. Click Add Payment

  4. Enter the installment amount or percentage

  5. Select the payment due date

  6. Repeat until the full invoice balance is allocated

The payment schedule appears in the client-facing invoice and exported PDF when enabled in the invoice display settings.

Payment schedule installments must equal the full invoice total before the invoice can be finalized or sent.

Adding Terms & Conditions

The Terms & Conditions field is used to communicate payment policies, billing requirements, project conditions, or legal disclaimers associated with the invoice.

Terms entered here appear in the client-facing invoice and exported PDF when enabled in the display settings.

Common examples include:

  • Net 30 — Payment due within 30 days of invoice date

  • Due on Receipt — Payment expected immediately upon delivery

  • 50% deposit required before work begins

  • Late payments subject to finance charges

  • Custom or made-to-order items are non-refundable

  • Pricing valid for a limited time period

  • Work begins after initial payment is received

Clear invoice terms help reduce misunderstandings and document billing expectations for both parties.

Adding Notes and Internal Memos

Invoices support both client-facing notes and internal-only memo fields.

  • Notes — General client-facing notes or contextual information related to the invoice.

  • Internal Memo — Internal billing notes, reminders, or team context not typically intended for client visibility.

Internal memos are primarily used for internal reference and operational tracking.

Warning: Internal memos can be included in exported PDFs if the Internal Memo display option is enabled during PDF export. Always review the invoice preview before downloading or sending documents to clients.

Reviewing Client Visibility

Before sending or exporting an invoice, review the client-facing display settings carefully.

You can control whether the following appear in the client view or exported PDF:

  • Payment schedules

  • Terms & Conditions

  • Notes

  • Internal memos

  • Pricing columns

  • Markup

  • Section totals

Always preview the invoice before sharing it with the client.