The Complete Guide to Deposits: How Much to Charge and When to Take Them

10 min read · Updated November 2025

Deposits are one of the simplest and most effective ways to protect your time, reduce cancellations, and improve cashflow in a trades or service business.

Yet many tradespeople hesitate to use them. They worry deposits will scare customers off, make them look aggressive, or complicate the booking process.

The truth? Customers are used to paying deposits — for holidays, restaurants, events, and even haircut appointments. When you explain it clearly, a deposit feels normal, professional, and reassuring.

In this guide, we’ll walk through everything you need to know about deposits: how much to charge, when to take them, what to do about refunds, and how to introduce deposits without awkwardness.

1. What a deposit actually protects you from

Deposits aren’t about being pushy — they exist to protect your business from:

• Last-minute cancellations that leave empty time slots
• No-shows that waste your working day
• Customers who change their mind after you’ve ordered materials
• Jobs that start but don’t get finished due to customer delays
• Lost earning opportunities when someone books a slot but doesn’t commit

A deposit ensures the customer has a small amount of skin in the game. It’s a commitment from them that makes it much safer for you to block out your time and prepare for the job.

2. How much deposit should you charge?

There’s no one-size-fits-all rule, but these guidelines work for most trades:

💰 For small jobs (£50–£250)

• 10–25% is common
• Or use your minimum call-out fee as the deposit

💰 For medium-size jobs (£250–£2,000)

• 20–40% is typical
• A larger deposit may be needed if materials must be purchased upfront

💰 For large projects (£2,000+)

• 30–50% upfront is standard
• Followed by stage payments (e.g. start, midway, completion)

Ultimately, your deposit should reflect your risk, cash outlay, and diary commitment.

3. Should deposits be refundable?

This depends on how your business works, but here are the most common approaches:

• Non-refundable when the deposit covers materials, preparation, or lost bookings
• Partially refundable if the customer cancels with reasonable notice
• Fully refundable if you cancel or cannot complete the job

Whatever you choose, make sure it’s clearly stated in your quote or terms. Confusion is the main cause of deposit disputes — not the deposit amount itself.

4. When should you take the deposit?

The best time to take a deposit is before the job is booked into your calendar. If you book the slot first, the customer has no incentive to pay quickly.

Recommended flow:

1. Send the quote with a deposit clearly listed
2. Customer accepts the quote
3. You request or automatically take the deposit
4. Only once paid, the job is locked into your diary

In GoTaskhub, customers can accept quotes and pay deposits instantly through the client portal, which eliminates friction and speeds up your workflow.

5. How to introduce deposits without scaring customers

Customers expect professionals to have clear processes. Deposits often increase trust because they show you’re organised.

The key is simple, confident language. For example:

When said calmly and professionally, deposits feel like a normal part of doing business.

6. How to collect deposits without hassle

The easier it is for customers to pay, the fewer delays you’ll face.

Good options include:

• Instant online card payments
• Bank transfers with clear references
• Payment links included in quotes or invoices
• Client portals that support secure card payments

GoTaskhub supports online payments, portal payments, and quote acceptance, making it simple to collect deposits without chasing.

7. What to include in your deposit terms

Clear communication prevents misunderstandings. Your quote or T&Cs should state:

• The deposit amount and percentage
• What the deposit covers (materials, booking, time)
• Whether it’s refundable, and under what conditions
• When the deposit must be paid
• Whether work will start before the deposit is paid (it shouldn’t)
• The payment methods accepted

This level of clarity makes customers feel safer, not pressured. Transparency builds trust.

8. Using deposits to improve your cashflow

Deposits can transform how predictable your income feels — especially during quieter months.

They help by:

• Giving you upfront cash to buy materials
• Reducing the number of “sales” that never turn into paid work
• Locking in committed customers early
• Creating smoother budgeting and forecasting for the next 30–90 days

When combined with GoTaskhub’s invoicing and home finances, you can see exactly how deposits improve your cashflow month by month.

Final thoughts: a simple change that protects your business

Deposits aren’t about pushing customers away. They’re about being professional, protecting your time, and making your business predictable.

To recap:

• Most tradespeople charge 20–50% depending on job size
• Deposits protect your schedule, materials, and time from cancellations
• Clear communication makes deposits feel normal and professional
• Online payments and portals remove friction and speed things up
• Deposits dramatically improve cashflow and reduce risk

GoTaskhub makes deposits painless — with quotes, payments, and customer communication all in one place.

When you combine strong pricing with a sensible deposit process, you build a business that is fair to customers and profitable, stable, and sustainable for you.