Day-rate invoice template UK (2026): CIS, VAT and worked example
Day-rate invoice UK, short answer: if you bill a private householder for day-rate labour on their own home, it is a normal invoice and usually no CIS — the householder is not a CIS contractor. If you bill a main contractor or construction business for day-rate labour on construction operations, the payment may fall under the Construction Industry Scheme when they pay you as a subcontractor — check HMRC’s public CIS guidance and the CISR manuals with your accountant; do not invent rates. If you are VAT-registered (threshold £90,000), show VAT correctly on the invoice; if you are not registered, do not charge VAT.
A day-rate invoice bills a clear day (or half-day) rate for time on site — not a fixed package and not a minute-by-minute hourly sheet. Trades use it for attendance, QS dayworks, or “one day to finish snags”. Get the customer type wrong and CIS, reverse charge and payment chase go sideways. Figures below are illustrative only, not market rates. Need the PDF now? Open the free invoice generator (Free: 5 invoices).
Who pays, CIS and VAT on a day-rate invoice
Start with who is paying you. That single fact decides whether CIS language belongs on the invoice at all.
Who pays you | Typical day-rate job | CIS? | VAT if you are registered |
|---|---|---|---|
Private householder | Day on site finishing their kitchen / bathroom / extension snags | Usually no — householder is not a CIS contractor | Usually standard-rated (often 20%) on ordinary domestic labour — soften Notice 708; do not invent 0% for lived-in homes |
Main contractor / developer / CIS contractor | Day-rate labour on construction operations | May apply when they pay you as a subcontractor for construction ops — see HMRC CIS overview and CISR manuals; ask your accountant | Normal VAT rules, or domestic reverse charge only when eligible contractor-to-contractor tests are met — never reverse-charge a householder |
Landlord / managing agent (commercial relationship) | Day attendance on a rental property | Depends who the CIS actor is — soften; if a contractor pays you for construction ops, test CIS | Usually 20% if registered unless a relief clearly applies |
Materials-only / supply with no labour | You only delivered materials; no day on site | Generally outside CIS when there is no construction labour — do not invent CIS on a pure supply | Usually 20% if registered |
CIS rates (0% / 20% / 30%) and verification sit with the contractor and your CIS status — InvoiceAdept does not decide status and does not file CIS300. Soften absolute claims; contract facts matter. Start with HMRC’s CIS overview and the live CISR manuals (e.g. CISR14100 / CISR14240 for construction-operations framing — not a closed trade list on this blog). VAT registration threshold is £90,000 (GOV.UK); £85,000 is stale. InvoiceAdept does not file VAT returns, MTD updates or Self Assessment.
Day rate vs hourly vs call-out vs fixed-price
Keep sister pages for sister intents. Use this page when the commercial deal is a day (or half-day) rate.
Billing shape | When it fits | Invoice cue |
|---|---|---|
Day rate (this page) | Agreed day or half-day on site; dayworks; attendance packages | “Day rate × days attended” with dates and site address |
Hourly | Short visits, fault-finding, variable duration | Hours × hourly rate; clock times help if the client asks |
Call-out | Emergency / first attendance fee plus labour | Call-out fee on its own line, then labour or day rate |
Fixed-price / quoted job | Scoped package with a lump sum | Quote reference + stage or completion lines — not day × rate unless dayworks were agreed as extras |
If the QS asked for dayworks sheets, say so on the description and keep timesheets or signed dayworks attached or referenced. Do not silently convert a fixed-price snag list into day-rate billing without agreement.
What a UK day-rate invoice must include
Whether you are a sole trader or limited company, the invoice still needs the basics HMRC and your customer expect.
Field | Always? | Day-rate notes |
|---|---|---|
Your name or business name | Yes | Match Self Assessment / Companies House naming |
Your address and contact | Yes | Email helps QS and householder queries |
Customer name and address | Yes | Limited company = registered name; add site address if different |
Unique sequential invoice number | Yes | No gaps; e.g. INV-DR-2026-0042 |
Invoice date | Yes | Date of issue |
Tax point / supply date | If VAT-registered and different | Useful when days span a month-end |
Description of services | Yes | Day rate, dates attended, site, what was done; say “householder — no CIS” when true |
Quantity | Yes | Number of days / half-days |
Unit price and net totals | Yes | Day rate × days; split materials if CIS may apply |
Payment terms | Yes | e.g. 7 / 14 / 30 days |
VAT number, rates, VAT amount | If VAT-registered | Show net, VAT and gross clearly |
CIS UTR / deduction narrative | Only when billing a CIS contractor for in-scope work | Omit on householder invoices |
Bank details | Strongly recommended | Sort code and account name matching the invoice name |
Put each day (or half-day) on a readable line — or one line with “3 days @ £X” plus a date list in the description.
Separate materials and expenses from the day-rate labour line when a contractor may apply CIS — CIS is about labour on construction operations, not a licence to blur free-issue materials.
Never reverse-charge a private householder.
Worked example: one day-rate invoice
Illustrative only — not a price list. Sole trader, not VAT-registered, billing a private householder for one agreed day finishing snags. No CIS.
Line | Detail | Qty | Rate | Net |
|---|---|---|---|---|
1 | Day-rate labour — finish snags, 12 Oak Lane, 14 Sep 2026 (householder; no CIS) | 1 day | £280.00 | £280.00 |
2 | Consumables (silicone, fixings) — at cost | 1 | £18.50 | £18.50 |
Subtotal | £298.50 | |||
VAT | £0.00 (not VAT-registered) | |||
Total due | £298.50 |
Payment terms example: Due within 7 days. Bank transfer to [Account name]. Invoice number INV-DR-2026-0042.
If the same day were billed to a CIS contractor for construction operations, add UTR where required, split labour vs materials, and follow their deduction statement process — do not invent a rate unless that is how you agreed to present it. Soften; ask your accountant on borderline jobs. Build the same shape in the free invoice generator.
CIS and VAT at a glance
Topic | Practical rule for day-rate invoices |
|---|---|
Householder customer | Usually no CIS |
Contractor paying for construction labour | CIS may apply — HMRC CIS / CISR; accountant on edge cases |
VAT threshold | £90,000 taxable turnover — register when required; £85,000 is stale |
Not VAT-registered | Do not add VAT lines; do not show a fake VAT number |
VAT-registered, ordinary domestic day labour | Often 20% — soften Notice 708; do not invent zero-rating for lived-in homes |
Domestic reverse charge | Only when eligible contractor-to-contractor rules apply — never on a householder |
Deemed contractor spend test | HMRC uses a £3 million construction-spend framing — not £1 million |
What InvoiceAdept does | Helps you raise clear UK invoices — does not file CIS300, VAT returns, MTD updates or Self Assessment |
Labour, materials and expenses on day-rate bills
Day rate is for your time. Keep materials, plant and travel on separate lines when the customer or CIS needs a split.
Labour / day rate — dates, site, what was done, day or half-day count.
Materials you bought — at direct cost when CIS materials carve-outs matter; never claim free-issue main-contractor stock as yours.
Expenses — parking, congestion, agreed mileage only if the contract allows.
Weak: “Day rate as agreed.” Usable: “Day-rate labour, 1 day @ £280, 14 Sep 2026, finish second-fix snags per WhatsApp list 12 Sep 2026, 12 Oak Lane — householder, no CIS.”
Payment terms and getting paid
Send the invoice the same day or next working day while attendance is fresh, with a clear due date. For B2B late payment, statutory interest can apply (Bank Rate + 8% where the Late Payment of Commercial Debts rules apply) — see our late-payment guides; mark worked examples illustrative. Do not paste commercial interest wording onto a private householder invoice without checking the contract. Put sort code and account name on the PDF so nobody chases bank details on WhatsApp.
Common mistakes on day-rate invoices
Mistake | Fix |
|---|---|
No dates or site address | List attendance dates and the job address |
CIS narrative on a householder invoice | Remove CIS lines when the householder pays |
Blending materials into one “day rate” lump | Split labour and materials when a contractor may apply CIS |
Charging VAT when not registered | Net only until you are VAT-registered |
Using stale £85,000 VAT threshold language | Current threshold framing is £90,000 |
Silent conversion from fixed price to dayworks | Get dayworks agreement in writing first |
FAQ: day-rate invoices UK
Do I need CIS on a day-rate invoice to a householder?
Usually no. A private householder paying for work on their own home is not a CIS contractor. Keep the invoice clear and skip CIS deduction language.
Can day-rate labour fall under CIS?
Yes, when a CIS contractor pays you as a subcontractor for construction operations. Soften absolute claims; check HMRC’s CIS guidance and CISR manuals, and ask your accountant on borderline packages.
What is the UK VAT registration threshold?
£90,000 taxable turnover. The older £85,000 figure is out of date.
Should I invoice by the day or by the hour?
Use the shape you agreed. Day rate suits full or half days on site; hourly suits short or variable visits. Do not switch mid-job without agreement.
What must appear on every day-rate invoice?
Your details, customer details, unique invoice number, date, clear description (including days and dates), amounts, payment terms, and VAT details if you are registered.
Can I add materials to a day-rate invoice?
Yes — preferably on separate lines, especially if CIS may apply. Show direct cost when that is how you agreed to recharge.
Does InvoiceAdept file my CIS or VAT returns?
No. InvoiceAdept helps you create and send UK invoices. It does not file CIS300, VAT returns, Making Tax Digital updates, Self Assessment or court claims.
How much does InvoiceAdept cost?
Free plan includes 5 invoices. Pro is £7.99. Pro+ is £12.99. Use the free invoice generator to raise a day-rate invoice without starting from a blank PDF.
Create your day-rate invoice with the free invoice generator
Open the free invoice generator, add the customer, day-rate line (dates + site), optional materials, payment terms, then download the PDF. Free: 5 invoices. Pro £7.99. Pro+ £12.99.
Last reviewed: 14 September 2026. Practical UK trades guidance, not personal tax advice — confirm CIS/VAT with HMRC or your accountant when unsure.
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