Invoicing Tips

How to Invoice for Parts and Labor

List labor and parts separately, add fees and tax on their own lines, and show one total with a due date. Here’s the layout, line by line.

October 8, 2026·6 min read

To invoice for parts and labor, put labor and parts in separate sections, list each item on its own line with a quantity and price, add any fees and sales tax as separate lines, and finish with one total and a due date. That’s the whole method. The rest of this guide covers how to write each part so customers pay without questions.

Want to skip the layout work? The free plumbing invoice template already has labor, parts and call-out fee lines set up. Fill in your prices and download a PDF. It works for any repair or install job, not just plumbing.
Why it matters

Why parts and labor belong on separate lines

A single line that says “Labor and materials” with one number is the invoice most likely to get a phone call instead of a payment. Splitting it up helps everyone:

  • •The customer can see what they paid for — the hours and the parts — so the total feels earned, not arbitrary.
  • •You get a record of exactly which parts went in, which matters if there’s a warranty claim later.
  • •Sales tax can apply differently to parts and labor depending on your state, so you need them separate to charge it correctly.
  • •You can see how much of your income comes from labor versus parts, which tells you whether your rates are working.
Step 1

Write the labor section

If you bill hourly, enter hours as a decimal (1.5, not 1:30) and your hourly rate as the price. If two people worked, either add a line per person or enter total crew hours — just be consistent.

If you quote flat prices, use the job name as the description with a quantity of 1.

Either way, describe the work, not just the category. “Labor” on its own invites questions. “Labor — diagnose and replace water heater thermostat” answers them before they’re asked.

Step 2

Write the parts section

Put each part on its own line with the quantity and the price per unit: the valve, the fittings, the supply lines, the new fixture. Add a part or model number when it helps the customer — or you — identify it later.

Two cases worth handling explicitly:
  • •Small consumables (thread tape, sealant, fasteners): one honest line such as “Small materials and consumables” is clearer than ten tiny lines.
  • •Customer-supplied parts: note it on the invoice, so it’s clear you didn’t provide that part or its warranty.
Step 3

Decide how you handle markup on parts

Many trades charge more for parts than they paid, to cover the time spent sourcing them, trips to the supply house, returns and warranty handling. You don’t have to show your cost or your markup on the invoice — bill parts at your selling price. Two rules keep it clean: apply the same approach on every job, and never label your selling price as the manufacturer’s list price.

Step 4

Add fees, tax and the total

Call-out or trip fees, emergency and after-hours rates, permit and inspection fees, and disposal charges each get their own line, named the way you described them to the customer when they booked. Then add sales tax as its own line. Whether parts, labor or both are taxable depends on your state, so check with your state’s revenue department or your accountant rather than guessing.

Here’s the layout, top to bottom:

Example layout
LABOR Diagnose and replace water heater thermostat — 1.5 hrs × [your hourly rate] = [amount] PARTS Water heater thermostat × 1 — [price] Small materials and consumables — [price] FEES Call-out fee — [amount] Subtotal — [amount] Sales tax (if applicable) — [amount] TOTAL DUE — [amount], due [date] Pay online: [payment link]
Avoid these

Mistakes that slow down payment

  • •One lump-sum line, so the customer can’t tell what they’re paying for.
  • •Vague lines like “misc” or “parts” with no detail.
  • •Forgetting the call-out fee you quoted — then adding it on a second invoice.
  • •No due date, or “pay when you can.”
  • •No way to pay without calling you first.

If a parts and labor invoice still goes unpaid, these friendly payment reminder templates help you follow up without sounding pushy.

Free tool

Make one now

The free plumbing invoice template opens with labor, parts and call-out fee lines already in place, takes part-hours like 1.5, and gives you a PDF to send today. No signup. For other kinds of work, the general invoice generator works the same way without the plumbing presets.

Send this from your phone with a pay-now link and automatic reminders

The LaborMate iPhone app lets you reuse saved items like your labor rate and common parts, sends the invoice by text or email with a link the customer can pay by card, and follows up for you if it isn’t paid.

Key Takeaways

Should parts and labor be on separate lines?

Yes. Separate labor and parts sections, each with its own lines, make the total easier to understand, give the customer a record of what was installed, and let you see how much of each job is labor versus materials.

Do I have to show my markup on parts?

No. You can bill parts at your selling price without showing what you paid. Just be consistent, and don’t describe a marked-up price as the manufacturer’s price.

Do I charge sales tax on parts, labor or both?

It depends on your state, and sometimes on the type of job. Some states tax parts but not labor; others tax both. Check with your state’s revenue department or your accountant, and show tax as its own line.

How do I invoice a flat-rate job that includes parts?

Use one line with a clear description of what the flat price includes, such as “Replace kitchen faucet, including faucet and supply lines.” If you want a record of the parts for warranty purposes, list them underneath at no extra charge or in the notes.

What’s the fastest way to make a parts and labor invoice?

Start from a template that already has labor, parts and fee lines, fill in your numbers, and send it the day the job is done. The free LaborMate plumbing invoice template is laid out this way.

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