I’ve got a client who’s over 60 days late on their third invoice this year. It’s making me rethink my contract terms.
How do you guys set up payment clauses to prevent this? I’m wondering if I’ve been too lenient.
Three strikes - they’re showing you exactly who they are. Here’s what I’d add to your contract:
- Late fee after 30 days (I do 1.5% monthly)
- Work stops at 45 days overdue
- Collections notice at 60 days
Honestly? I’d fire this client. Chronic late payers don’t change.
Also, switch repeat offenders to net 15 instead of net 30. Gives you cushion when they’re late again (and they will be).
Stop working for them now. I learned this the hard way after months of chasing payments. I require 50% upfront from anyone who’s been late twice. No exceptions. Shorter payment terms work too. Instead of net 30, use net 15 or even net 10. Bad payers will still be late but you’ll find out faster.
Late clients can waste your time. Implement interest charges on overdue invoices and request upfront payment for future projects. Some clients may take advantage of freelancers - be firm with your terms or consider letting them go.
Got a client like that too. I sent a collections letter at day 60. They paid up fast.
Now I add stricter terms in my contracts. If they’re late once, all future invoices shift from net 30 to net 15. If they’re late twice, I require a 50% deposit upfront.
Most clients act right when they see there are real consequences. The ones that don’t? Let them go.
Late payments can be frustrating. Asking for some upfront can help avoid these issues.