Estimate Template
A priced estimate for work, with what could change the figure.
Details
estimate templateUploads
Your logo
A photo or picture
Goes on this page only. Drag it anywhere and pull its corner to resize it.
Your signature
Draw it with a finger, a mouse or a trackpad, and it goes on the page like a picture.
Pictures and signatures stay on this device. Nothing is uploaded to a server.
Red highlights mark what is still blank. Click anything on the page to change it. Your draft is kept on this device as you work.
| Estimate no. | [estimate no.] |
| Date | October 14, 2026 |
| For | [customer] |
| Valid for | [days] days |
| Description | Qty | Unit price | Amount |
|---|---|---|---|
| [add one line per item] |
This is an estimate, not a fixed quotation. If the work turns out to need more than is described above, we will tell you before doing it and agree the difference with you first.
What is an Estimate?
An estimate is a considered figure for work whose full extent is not yet known, given together with the assumptions it rests on. A plumber cannot see behind the wall; a developer cannot size a migration before touching the data. The estimate says what the job looks like from here, what is included, and what would move the number. Send a price with none of that and you have made a promise you did not mean to make.
Trades and services use estimates constantly: builders, electricians, garages, removals firms, printers, IT support and repair shops. The pattern is the same everywhere — the customer wants a figure before committing to an inspection, and the real scope only appears once work starts. Estimates also travel upward inside organisations, where a manager needs a number for a budget line months before a supplier is chosen. In both cases the reader treats the figure as a promise unless the document says otherwise.
The word matters more than people expect. In several markets an estimate and a quotation are treated differently by consumer law, and a trader who labels one thing and delivers another can end up held to the wrong figure. Check the rule where you trade: the UK consumer protection regime and your trading standards service, the Australian Consumer Law, your state's contractor or automotive repair rules in the US, and any sector licensing conditions. Some jurisdictions require a written estimate before certain repair work and limit how far the final charge may exceed it without fresh approval.
An estimate is not a quotation, an invoice or an order. It does not guarantee availability, hold materials at today's price, or authorise you to start. Nor does it become binding simply because the customer said yes on the phone — for that you need a written acceptance of a defined scope. Treat it as the opening of a conversation about scope, and convert it into a fixed quotation as soon as you know enough to stand behind a number.
What to put in an Estimate
These are the details this template asks for. Anything left blank is marked in red on the preview so you can see what is still missing.
| Field | What goes in it |
|---|---|
| Business name | For example: Barton Supply Co. |
| Your address | For example: Unit 7, Barton Road, Columbus, OH 43212 |
| Customer name | For example: Halliwell Interiors Inc. |
| Customer address | For example: 44 High Street, Columbus, OH 43215 |
| Quotation no. | For example: QT-2026-0451 |
| Estimate lines | One per line: Description | Quantity | Unit price |
| Estimate valid for (days) | For example: 30 |
| What could change the price optional | One per line |
| Tax rate % optional | For example: 20 |
| Currency | Free text |
| Signatory name optional | For example: K. Srinivasa Rao |
How to write an Estimate
Label the document an estimate, clearly
Put the word estimate in the title, the file name and the first line, and say plainly that the figure is not fixed. Customers forward documents to spouses, landlords and finance teams who never spoke to you and who read only the total. If the only place the word appears is a footer, expect to be held to the number as though it were a quotation.
Describe exactly what you priced
Write the scope you had in front of you: the rooms, the vehicle registration, the number of records, the square metres. An estimate for replacing a boiler in a two-bedroom flat with existing pipework in place is a different document from one that says boiler replacement. That description is what later shows the extra six hours were genuinely extra, not something you forgot to include.
Write the assumptions out as a list
Every estimate rests on things you have not verified. Say so: existing wiring is serviceable, no asbestos present, data supplied in a single format, access available between eight and five. A numbered assumption list turns an awkward conversation into a factual one — assumption four was wrong, here is what that changes. Without it you are arguing about who remembers what.
Break the number into lines
Show labour, materials, plant hire, disposal and tax separately, with a rate and a quantity wherever you can. A single total invites one response, which is to ask for it to be lower. Lines let the customer remove something instead, which is a better outcome for both of you. Where an item is genuinely uncertain, show a range rather than a false precision.
Say how changes get approved
State what happens when the job turns out bigger: you stop, you put the variation in writing with a price, and work continues once the customer approves it. Name the approval method — a reply to your email is enough if you say so. Some jurisdictions require written authorisation before exceeding an estimate by a set margin, so check your local rule and write it into the document.
Common mistakes
- Calling it an estimate but writing it like a quotation, with a single firm figure and no assumptions, which is how you end up bound to a price you meant to revise.
- Omitting disposal, parking, permits or delivery, small items that add up and come out of your margin rather than the customer's.
- Estimating from a photograph or a phone description without an inspection, then discovering the real condition after the customer's expectation has been fixed to a number.
- Carrying on with extra work and mentioning the cost at the end, which in many places lets the customer refuse to pay for anything they never authorised.
- Leaving out an expiry date, so a customer accepts an eight-month-old estimate after material prices have moved against you.
Frequently asked questions
What is the difference between an estimate and a quote?
An estimate is your best assessment of what a job will cost when the scope is not yet fully known. A quotation is a fixed offer for a defined scope, and once accepted you are expected to deliver at that price. The practical test is whether you have seen enough to stand behind the number. If you have not, do not send a quotation, however much the customer would prefer one.
Is an estimate legally binding?
Generally an estimate is not a fixed price, but that is not a blank cheque. Consumer protection rules in many countries expect the final charge to be reasonable and broadly in line with what was estimated, and some sectors set explicit limits on exceeding it without fresh approval. Check the rule that applies where you trade, and get written approval for variations as they arise rather than at the end.
How much can the final bill exceed an estimate?
There is no single figure. Some jurisdictions set an explicit tolerance for particular trades, notably vehicle repair and home improvement; elsewhere the test is whether the final charge is reasonable given what was known. The safe practice is the same everywhere: stop when the scope changes, write down what changed and what it costs, and get an answer before continuing.
Should an estimate include VAT or GST?
Show the tax position explicitly, whichever way you decide. For consumers, several jurisdictions require the total the customer will actually pay to be the prominent figure; business buyers usually want the figure before tax. State the rate applied and whether it is included, and note that the rate charged is the one in force when you invoice, not when you estimated.
How long should an estimate stay valid?
Set a date rather than leaving it open — fourteen or thirty days is common in trades where material prices move, longer for stable services. Say what happens after the date: the estimate lapses and you will re-price on request. That is easier than withdrawing a figure someone has been planning around, and it gives you a reason to make contact again.
This page explains general practice and is not legal advice. Requirements differ between countries and, in some cases, between states — check what applies where the document will be used.