The job is done and the invoice is sent. Now the customer wants to pay by card, a commercial client wants you to sign up for their payment portal, a recurring customer’s saved card declines on the morning of the visit, and a check is “in the mail.” Every one of those payment methods costs you something: a fee, a delay, or your time chasing it.
This guide covers the common ways home-service businesses get paid, what each one really costs, how to handle commercial clients and recurring customers, and how to set a payment policy so you stop deciding it job by job. It applies whether you clean houses, mow lawns, wash driveways, or run a small contracting crew.
What each payment method really costs
- Credit and debit cards. Fastest and easiest for the customer, and the most likely to get you paid on the spot. You pay a processing fee on every transaction, usually a few percent. Check your processor’s actual rate.
- ACH bank transfer. Usually much cheaper than cards for larger invoices, but slower to settle and less familiar to some homeowners.
- Checks. No processing fee, but they cost you time: waiting, picking them up, depositing, and the occasional one that never shows up or bounces.
- Cash. No fee, but you still have to record it properly and give a receipt.
- Peer-to-peer apps. Convenient for small jobs. Check whether your account is set up for business payments and what it charges, and record each payment against the invoice.
- Client payment portals. Some commercial and nonprofit clients pay vendors through their own accounts-payable platforms. Read the vendor terms before you sign up, because some platforms push vendors toward paid plans.
The cheapest method is not always the best one. A card payment collected today often costs less than a check that takes three weeks and two follow-up texts.
Do the fee math on your real jobs
Example numbers only. Say your processor charges an example 3% per card payment:
- $150 lawn visit: $4.50 fee
- $400 house wash: $12 fee
- $6,000 remodel invoice: $180 fee
On small jobs the fee is often worth it for the speed. On large invoices, it can be real money. That is why many contractors take cards for small jobs and deposits, and push ACH or check for big final payments.
Options for covering card fees
- Build it into your prices. The simplest option. Your rates already cover rent, fuel, and insurance. Payment processing is just another cost of doing business.
- Offer a discount for ACH or check. Price normally, then offer a small discount for paying by bank transfer on large invoices.
- Add a card surcharge. Possible in many places, but rules vary by state and by card network, and debit cards are often treated differently. Check with your processor and your local rules before you add one.
- Turn off cards on certain invoices. For large final payments, you can send an invoice that only offers ACH or check.
Commercial clients that want you on their payment system
Property managers, offices, schools, and nonprofits often pay on their own schedule and through their own systems. Before the first job:
- Ask how they pay vendors and how long it takes (net 15, net 30, net 45).
- Ask whether they can pay by direct ACH or mailed check instead of a portal that charges you a fee.
- If a portal is required, read the vendor terms, including any monthly fees after a free trial, and price that cost into the account.
- Send invoices with their purchase order number or job reference if they use one. Missing details are one of the most common reasons commercial invoices sit unpaid.
Commercial terms also affect cash flow. If you are buying materials or paying helpers now and getting paid in 30 to 45 days, take a deposit or progress payments on bigger jobs. How to take deposits without losing the customer covers how to ask.
Recurring customers and saved cards
Recurring work like biweekly cleaning, weekly mowing, or monthly service plans depends on saved cards, and saved cards expire, get replaced, or hit their limit. A few habits help:
- Charge or check before the visit, not days after. If a card fails, you find out before you drive there.
- Ask for a backup payment method at signup.
- Offer ACH for recurring clients. Bank accounts change less often than cards.
- Have a short, friendly message ready for failed payments, with a link to update the card.
- Decide your rule in advance. For example: if payment is not updated by the day before, the visit is rescheduled.
Write a simple payment policy
A payment policy keeps you from negotiating every invoice. Put it on your estimates and invoices:
- Payment methods you accept
- When payment is due (on completion, within 7 days, net 30 for approved commercial accounts)
- Deposit requirements for larger jobs
- Any card fee or bank-transfer discount, if you use one
- What happens when a payment is late
Then follow it. How to get paid faster covers same-day invoices and reminder schedules, and what to do when a customer won’t pay covers the step after that.
Record every payment against the invoice
Whatever method the customer uses, record the payment against the invoice the same day, with the date, amount, and method. If you skip this for cash, checks, and app payments, you end up with deposits you cannot match to jobs and a scramble at the end of the year. It also keeps your view of each job’s profit honest, because fees are a real cost of the job. Revenue is not profit explains why that matters.
The short version
Every payment method costs something: fees, delays, or your time. Do the fee math on your real job sizes, decide whether to absorb card fees or steer large invoices to ACH, check vendor terms before joining a client’s payment portal, charge recurring cards before the visit, and write a payment policy you actually follow. Then record every payment against its invoice.
SupaHandi lets you send invoices with online payments, record cash, check, and app payments against each invoice, and see job profit after expenses. See the SupaHandi features, or start free.