How to write an estimate (with example and template)

A good estimate answers the client’s questions before they ask them: what is included, what it costs, how long the price is good for and how to say yes. It also protects you: when the scope and the price are written down, most arguments never start. Here is how to write one, step by step.

What to put on an estimate

• Your business details: name, address, phone, email and, where required, your license number and insurance.
• The client: name, address and the job site if it is different.
• Estimate number and date, so you can match the client’s reply and the later invoice.
• A short description of the job, in one or two sentences.
• Line items: each task or material with quantity, unit (hours, sq ft, each) and unit price.
• Totals: subtotal, sales tax if it applies, and the total.
• Valid until: the date after which you may update the price, often 30 days.
• Terms: deposit, payment schedule, start date and how extra work is handled.
• Acceptance: a place for the client’s signature and date.

Atlas Studio12 Harbour Street
Casablanca 20250[email protected]

Quote

Number

QT-0042

Date

Mar 14, 2026

Prepared for

Northwind Trading48 Rue de Lyon
75012 Paris

Description	Qty	Unit price	Amount
Brand identity design	1	$1,800.00	$1,800.00
Website pages (5)	5	$320.00	$1,600.00
Product photography, half day	1	$650.00	$650.00
Print-ready files	1	$150.00	$150.00

Notes

Thank you for your business.

Subtotal	$4,200.00
Tax 20%	$840.00
Total	$5,040.00

Estimate or quote?

An estimate is your best guess at the cost; the final price can change if the job turns out different. A quote is a fixed price for a defined scope. If you send an estimate, say so clearly and explain what could change the price. For a full comparison, read Quote vs estimate.

How to price the line items

• Separate labor and materials. The client sees where the money goes, and you can adjust one without reworking the other.
• Use the unit your trade uses: per square foot for flooring and concrete, per hour for repairs, per fixture for electrical work.
• Put optional work on its own lines, so the client can remove it instead of asking for a discount.
• Add a contingency only if you explain it, for example for hidden damage that may appear once walls are opened.

Write the terms that prevent disputes

Common mistakes

• One lump sum with no detail: clients compare bids line by line and trust the one they understand.
• No expiry date: material prices change, and an old estimate can lock you into a loss.
• Vague scope: write what is not included, such as haul-away or painting after drywall repair.
• No signature: a signed estimate is your proof of what the client approved.

Create your estimate in minutes

The estimate generator includes all of this: saved business details, line items with units, sales tax, a valid-until date and a client signature box. Add photos of the job site, download a PDF and, once the job is done, open More and convert the estimate into an invoice in one click.