How Long to Pay an Invoice? Legal Requirements + Best Practices
Payment terms determine how quickly you get paid. Learn the legal maximum periods by country, what Net 7 vs Net 60 means, and exactly what happens if your client misses the deadline.
Standard Payment Terms Explained
| Term | Meaning | Common Users |
|---|---|---|
| Due on Receipt | Pay immediately upon receiving invoice | Retail, small transactions |
| Net 7 | Pay within 7 days of invoice date | Fast-moving freelancers, small gigs |
| Net 14 | Pay within 14 days | UK freelancers, preferred EU default |
| Net 30 | Pay within 30 days | US standard, SMBs |
| Net 45 | Pay within 45 days | Mid-size businesses |
| Net 60 | Pay within 60 days | Large corporates, tech sector |
| Net 90 | Pay within 90 days | Enterprise, public sector (sometimes) |
| EOM | End of the month following invoice | Can mean 60+ days in practice |
π‘ Recommendation: Freelancers should use Net 14 as their default. Net 30 just trains clients to take 45. If a client pushes back, negotiate to Net 21. Never accept Net 60+ without a compelling reason.
Legal Maximum Payment Periods by Country
Many jurisdictions cap how long businesses can take to pay. These are maximums β you can always negotiate shorter terms, but clients can't force longer ones beyond legal limits.
πͺπΊ European Union β Late Payment Directive (2011/7/EU)
- B2G: 30 days maximum, no exceptions
- B2B: 60 days maximum (unless both parties agree AND it's not grossly unfair)
- Statutory interest: ECB reference rate + 8% from day one of late payment
- Collection cost compensation: Minimum β¬40 flat fee per late invoice
π¬π§ United Kingdom β Late Payment of Commercial Debts Act 1998
- Default term: 30 days if no term agreed
- Prompt Payment Code: Government target = 30 days
- Statutory interest: 8% + Bank of England base rate
- Compensation: Β£40 (under Β£1K), Β£70 (Β£1KβΒ£9,999), Β£100 (Β£10K+)
πΊπΈ United States
- No federal law setting maximum B2B payment terms
- Federal agencies: Must pay within 30 days (Prompt Payment Act)
- Practical standard: Net 30 is the accepted norm for B2B
- Construction: State-specific prompt payment laws apply
π³π± Netherlands
- B2B maximum: 60 days (Wet Betalingstermijnen)
- B2G maximum: 30 days
- Wettelijke handelsrente: ECB + 8% per year, automatic
- Incassokosten (WIK): Minimum β¬40 flat fee from day 1 of late payment
What Happens If a Client Doesn't Pay on Time?
Day 1 β Automatic Late Payment Interest
In the EU and UK, statutory interest starts accruing automatically. You don't need to include it on the original invoice.
Day 1 β Debt Recovery Fee
EU/UK: You're entitled to charge β¬40ββ¬100 as a flat collection fee. This is in addition to interest.
Day 7 β Formal Reminder
Send a written payment demand. Reference the original invoice, state the amount due, specify a final payment date. Keep this on file.
Day 14β21 β Final Demand
A final demand letter before legal action. State clearly that you will pursue collection if payment is not received.
Day 30+ β Small Claims or Collection Agency
File a small claims court claim (under Β£10K in UK, under β¬25K in NL, under $10β25K in US). Or hand to a collection agency (they take 15β30% of recovered amount).
How to Enforce Your Payment Terms
State Terms in Both Contract AND Invoice
Your contract should specify payment terms AND your invoice should echo them. Having it in the signed contract removes the βI never agreed to Net 14β defence.
Use Automated Reminders
The biggest mistake is waiting too long to chase. Chaser sends automated reminders at day 3, 7, 14, and 30 after the due date β escalating in tone, starting friendly and getting firmer.
Automate Your Payment Enforcement π
Chaser handles your full escalation sequence automatically. You invoice, Chaser chases. Free for 3 invoices.
Start Free TodayFrequently Asked Questions
What is the standard time to pay an invoice?
Net 30 (30 days) is the most common B2B default in the US. In the UK and EU, Net 14 or Net 30 are typical for freelancers. The EU Late Payment Directive caps B2B payment terms at 60 days.
Can a client refuse to pay before 30 days if my terms say Net 14?
It depends on what was agreed. If your contract specifies Net 14 and the client accepted it, they're contractually bound. Without written terms, courts apply the jurisdiction's default (30 days UK, 30β60 days EU).
What is 'due on receipt' and is it enforceable?
Due on receipt means immediate payment upon receiving the invoice. It's enforceable if agreed in the contract. In practice for B2B work, 'due on receipt' often results in Net 7β14 de facto.
Can I charge late payment interest without putting it on the original invoice?
In the EU and UK, statutory late payment interest is automatic by law β you don't need to pre-announce it. For contractual interest above the statutory rate, you must include it in your terms.
What's the difference between EOM and Net 30?
Net 30 = 30 days from invoice date. EOM = end of the month following the invoice. An invoice on May 15 under Net 30 is due June 14. Under EOM, it's due June 30. EOM can add up to 15+ extra days.