Milestone payment clause for freelancers
A milestone payment schedule clause: deposit, payments tied to deliverables, and when each is due. For larger freelance projects.
Milestone payment clause: copy and adapt
The fee is paid in the following instalments: (a) [25]% on signature; (b) [25]% on delivery of [milestone 1]; (c) [25]% on delivery of [milestone 2]; (d) [25]% on final delivery. Each milestone payment is due within [7] days of the milestone's delivery. Work on the next milestone begins once the previous payment is received.
When to use it
For projects over a few weeks or a few thousand in fees. You're never more than one phase unpaid, and the client pays as they see progress.
Variants by trade
Software development
Milestones are accepted on successful demonstration in the staging environment; the payment for a milestone is due within [7] days of acceptance.
Monthly progress billing
The Provider invoices on the last business day of each month for the percentage of the project completed that month, as shown in the progress report.
Frequently asked questions
How many milestones should a project have?
Usually three to five. Fewer and you're financing long stretches; more and admin eats the benefit.
What if the client delays approval of a milestone?
Pair this with an acceptance clause so a deliverable counts as accepted after a set review period.
Put this clause in a contract they sign today.
Clinch drafts the full contract with AI from a template, your client signs from their phone without an account, and the deposit is requested the moment they sign.
Start the contract with ClinchRelated clauses
These clauses are general templates, not legal advice. Laws vary by country and state; for high-value or unusual deals, have a lawyer review your contract.