Does Net 30 mean 30 business days or calendar days?

Calendar days, counted from the invoice date, unless you explicitly state otherwise. To avoid any doubt, write the actual due date on the invoice.

Can I charge a late fee?

Yes, if you state it in your terms before the work (for example, a 1.5% monthly fee on overdue balances). Rules on maximum rates vary by country and state, so check what applies to you.

It offers a 2% discount if the invoice is paid within 10 days; otherwise the full amount is due in 30 days. It is a way to encourage faster payment.

Net 30 and Payment Terms Explained (With Examples)

Payment terms tell your client when an invoice is due. Getting them right — and stating them clearly — is one of the simplest ways to get paid on time. Here’s what the common terms mean and how to choose.

What does “Net 30” mean?

Net 30 means the full amount is due 30 days after the invoice date. “Net” refers to the full invoice amount; the number is the count of days. So an invoice dated 1 November with Net 30 is due by 1 December.

Common payment terms at a glance

Due on receipt — payment is expected immediately. Best for one-off or first-time clients.
Net 7 / Net 14 — due in 7 or 14 days. Good for keeping cash flow tight with smaller clients.
Net 30 — due in 30 days. The most common term for business-to-business work.
Net 60 / Net 90 — due in 60 or 90 days. Common with large companies, but hard on your cash flow.
2/10 Net 30 — a 2% discount if paid within 10 days, otherwise the full amount in 30. An early-payment incentive.

How to choose your terms

New or one-off client? Ask for “due on receipt” or a deposit up front.
Ongoing B2B client? Net 14 or Net 30 is standard and expected.
Cash flow matters? Shorten the term or offer a small early-payment discount rather than waiting Net 60.
Large invoice? Consider milestone billing — invoice in stages instead of one lump sum.

Make the due date impossible to miss

Don’t rely on the client to do the maths. Alongside “Net 30”, write the actual date: “Due by 1 December 2026.” State any late fee in your terms, and make paying easy with bank details or a payment link on the invoice itself.

Set terms automatically

Our free invoice generator lets you pick a term (Due on receipt, Net 7/14/30/45/60) and fills in the matching due date for you, in the right currency and format for the US, UK, Australia or Canada.