What does Net 30 mean?

Invoicing, time cards and scheduling glossary

"Net" means the full amount, with no discount. Net 7, Net 14, Net 15, Net 45, Net 60 and Net 90 work the same way with a different number of days; "Due on receipt" means payment is expected right away.

The clock normally runs from the invoice date, so write both the terms and the actual due date on the invoice: clients pay against the date, and a late-payment reminder is easier when the date is printed. Longer terms are common with large companies; small clients and consumers usually pay on shorter terms.

Related terms

• 2/10 net 30 (early payment discount)Terms offering a 2% discount if the invoice is paid within 10 days; otherwise the full amount is due in 30 days.
• Quote (estimate)A priced offer sent before the work, listing what will be done and for how much, usually with a date it stays valid until.

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All invoicing, time cards and scheduling terms · Full glossary