Calculate statutory or contractual late payment interest and penalties on overdue invoices.
Calculate the late payment fee to charge a client for overdue invoices with this free calculator.
Late payments are the number one cash flow problem for freelancers. Every day an invoice is unpaid is a day the client is using your money interest-free. Late fees compensate you for this and motivate faster payment.
Charging late fees also signals that you run a professional business, not a charity.
Common late fee rates for freelancers are 1% to 2% per month on the overdue balance. Some freelancers charge a flat fee like 500 rupees per week. Either approach is valid as long as it is stated on the original invoice.
Always disclose your late fee policy on the invoice before the due date.
Multiply the overdue amount by the monthly rate and multiply by the number of months overdue. For a prorated calculation, divide the monthly rate by 30 and multiply by the number of days overdue.
This calculator does the calculation for any overdue amount, rate, and time period.
Add a line to your invoice like: Payments not received by the due date will attract a late fee of 1.5% per month on the outstanding balance.
Stating this upfront makes the fee enforceable and discourages late payment.
When an invoice is overdue, send a reminder that includes the original invoice amount, the due date, the number of days overdue, and the calculated late fee.
Being firm but professional in your tone maximises the chance of prompt payment.
Tez Invoice is our free online invoice generator. No sign up. No watermark. Download clean PDF or JPEG invoices in seconds, right from your browser.
Common questions about Freelance Late Fee Calculator: Compute Late Payment Interest on Client Invoices on Tez Invoice.
Yes. Late fees compensate for delayed cash flow and motivate clients to pay on time.
1-2% per month is common. Some charge a flat weekly fee. Both are valid with prior disclosure.
Multiply the overdue amount by the monthly rate and by the number of months overdue.
Yes. Free with no sign up.
It is much harder. Always state your late fee policy on the invoice before the due date.
Yes. Completely free with no sign up and no usage limits.
Yes. Fully responsive on all devices.
No. All processing is in your browser. Nothing is sent to any server.
Yes. Designed for freelancers and businesses.
Use the free Invoice Generator on Tez Invoice.