Bao CRMHow to write a quote for a job (or an estimate): 7 steps and an example
To write a quote for a job, pin down exactly what the client wants, price your time and materials, break the work into line items, add tax and a total, then set your terms: expiry date, deposit and payment. Send it quickly and follow up a few days later. If you cannot price the job precisely yet, write an estimate instead and say what could change the price.
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Quote or estimate: which one should you write?
A quote is a firm price for the work described: once the client accepts it, you should not charge more unless the scope changes and they agree. An estimate is your best guess, and the final price can move once the work starts. Write a quote when you have seen the job and can price it precisely. Write an estimate when part of the work is still unknown, such as what you will find behind a wall or how many revisions a client will need.
How to write a quote for a job in 7 steps
- Understand the job. Visit or call the client and ask what they want done, by when, and what “finished” looks like. Write down anything they expect you to supply.
- Price it. Estimate the hours, multiply by your rate, add materials and other costs, then a margin and a small buffer for the unknowns. The pricing section below shows the formula.
- Break it into line items. One line per part of the job, with a description, a quantity, a unit price and an amount. Clients accept detailed quotes more easily than a single lump sum.
- Add tax and the total. Show the subtotal, the tax (VAT, GST or sales tax) if you charge it, and the total. If you offer a discount, show it on its own line.
- Set your terms. Expiry date, deposit, when and how the balance is paid, what is included and what is not. These lines prevent most disputes.
- Add the details. Your business name and contact details, any tax or licence number, the client’s name and address, a quote number and the date.
- Send it and follow up. Send the quote within a day or two, while the client still remembers you, then follow up three to five days later with our quote follow-up email templates.
How to price a job for a quote
Most job prices come down to one formula:
Price = (hours × hourly rate) + materials and other costs + markup + contingency
- Hours. Break the job into tasks and estimate each one. Add travel and set-up time, which are easy to forget.
- Hourly rate. It must cover your own pay, your running costs and the hours you cannot bill, not just the time on site.
- Materials and costs. At what you pay, plus a markup for sourcing and handling them.
- Contingency. Five to ten percent for the surprises, or an explicit allowance line the client can see.
A worked example: a quote for a painting job
Alex, a self-employed decorator, quotes the interior painting of two bedrooms. Alex has seen the rooms and can give a firm price.
| Line item | Qty | Unit price | Amount |
|---|---|---|---|
| Preparation: filling, sanding, masking (hours) | 6 | $45.00 | $270.00 |
| Painting walls and ceilings, two coats (hours) | 14 | $45.00 | $630.00 |
| Paint and supplies | 1 | $310.00 | $310.00 |
| Clean-up and waste removal | 1 | $60.00 | $60.00 |
Subtotal $1,270.00, no tax charged in this example, total $1,270.00. Deposit of 25% ($317.50) to book the dates, balance on completion. Valid for 30 days. Included: two coats, furniture moved and protected. Not included: woodwork and doors, quoted separately on request.
You can build this exact quote in our free quote generator, choose your currency and tax, and save it as a PDF.
How to write an estimate instead
An estimate follows the same structure as a quote, with three differences:
- Call it an estimate, in the title and in the wording, so the client knows the price may change.
- State your assumptions: what you priced, and what could change the price, such as hidden damage or extra requests.
- Give a range or a margin, for example “between $1,200 and $1,450”, and promise to warn the client before going over it.
Once the unknowns are cleared, turn the estimate into a firm quote. Consumer rules on quotes and estimates differ from one country to another, so check those that apply where you work.
Writing a quote for a service
For a freelancer or a consultant, the job is a service rather than materials. The structure stays the same, but the lines change:
- Deliverables instead of materials: “5-page website”, “brand guidelines”, “two-day workshop”.
- Revisions included, and the price of extra rounds.
- A timeline, with what the client must provide and by when.
- A pricing method the client can understand: day rate, hourly rate or a fixed fee per deliverable.
Mistakes to avoid
- A single lump sum. Without detail, the client compares your total with a cheaper one and cannot see why yours is different.
- No expiry date. Your prices and your schedule change; your quote should too.
- Vague scope. “Paint the rooms” invites disputes. Say what is included and what is not.
- Sending it too late. A quote that arrives a week after the visit has often already lost.
- Never following up. Many quotes are won on the second or third message.
Frequently asked questions
What should a quote for a job include?
Your business details, the client’s name, a quote number and date, an expiry date, the job broken into line items with quantities and prices, tax and the total, payment terms, and what is included or not. Leave space for the client to accept.
How do I price a job for a quote?
Estimate the hours, multiply them by your hourly rate, add materials and other costs at cost plus your markup, then add a small contingency for the unknowns. For services, a day rate or a fixed project price works the same way.
What is the difference between a quote and an estimate?
A quote is a firm price for the work described, usually valid for a set period. An estimate is your best guess, and the final price can change. Write a quote when you can price the job precisely, and an estimate when you cannot yet.
How long should a quote be valid for?
Thirty days is common. Use a shorter period when your material prices move quickly or your schedule fills up, and say so on the quote.
How do I write a quote for a service rather than a job?
List the deliverables instead of materials, give the number of revisions included, the timeline and what the client must provide. Price it by the day, by the hour or as a fixed fee per deliverable.