Why Take a Deposit at All
A deposit is an upfront payment a client makes before you start work. It does two useful things: it covers your early costs (materials, time, booking out your calendar) and it proves the client is serious. For new clients, large projects, or anything with significant upfront expense, a deposit is normal and expected — you're not being difficult by asking.
The trick is to make it a routine part of how you work, not a special favour you're requesting. When a deposit is built into your quote and contract from the start, nobody blinks at it.
How Much to Ask For
There's no universal figure, but common ranges give you a sensible starting point:
Whatever you choose, write it into the quote and contract before work begins: the deposit amount, when the balance is due, and whether the deposit is refundable. Our guide on quotes vs estimates covers how to set this up at the offer stage.
How to Invoice a Deposit
A deposit gets its own invoice. Issue a deposit invoice for the upfront portion, clearly labelled, then a second invoice for the balance when the work is done — with the balance invoice showing the deposit already paid and deducted.
On the deposit invoice: label it clearly (e.g. "Deposit invoice — 50% of project total"), show what it covers, and give it a normal invoice number. On the final invoice: show the full project total, then a line for "Less deposit paid" subtracting the amount, leaving the remaining balance due.
The Tax Point a Deposit Can Create
Here's the part people miss. If you're registered for VAT or GST, taking a deposit can trigger a tax point on the amount received — meaning you may need to account for tax on the deposit when you receive it, not later when you finish the work.
In UK VAT, an advance payment generally creates a tax point for that amount on the earlier of when you receive it or when you issue a VAT invoice for it — so where the VAT-invoice rules apply, you'd issue a VAT invoice for the deposit and account for the VAT in that period. Australia generally attributes GST when you receive a part-payment or issue an invoice (depending on your accounting basis). Canada is similar for advance consideration, but a true security deposit is treated as not being payment until it's applied. That carve-out for genuine security deposits is exactly why the details matter.
Wording the Request
Keep it matter-of-fact and tied to what was already agreed. A short line does it:
Because it references the agreed terms, it reads as a normal next step rather than an awkward ask. Once the deposit lands, our guide on getting invoices paid faster helps you collect the balance smoothly.