If you're wondering how to invoice as a carpenter in Australia, the honest answer is: it depends on the job. A framing carpenter working under a builder invoices very differently to a finish carpenter building a custom bookshelf for a homeowner — different structure, different materials handling, and sometimes different ATO requirements.
This guide covers everything a carpenter needs to invoice correctly — the fields the ATO requires, how to handle materials markup, sample line items for common jobs, and the mistakes that slow down payment.
How to invoice as a carpenter — what every invoice needs
If you're GST-registered (compulsory once your annual turnover reaches $75,000), every invoice you issue must be a valid Tax Invoice. At minimum, that means including:
- The words "Tax Invoice" — clearly labelled, not just "Invoice".
- Your business name — matching your ABN registration.
- Your ABN — your 11-digit Australian Business Number.
- Your trade contractor licence number — if you hold one. Requirements vary by state and by job value, but many states require a licence for structural or building work above a set dollar threshold, even for carpentry.
- Invoice date — the date you issue the invoice.
- A unique invoice number — sequential numbering keeps your job costing and bookkeeping straight.
- Customer name and job address — required for invoices over $1,000, and useful for any job when you're running several sites.
- Description of the work — itemised line items for materials and labour.
- GST amount — shown as a separate line, not folded into the total.
- Total amount due — including GST.
- Payment terms — when payment is due (e.g. 7 or 14 days).
Tip: If you're licensed, put your licence number in the same spot on every invoice — most bookkeeping and job-costing headaches for carpenters come from inconsistent templates, not from the ATO rules themselves.
Structural carpentry vs finish carpentry — how invoicing differs
Structural or framing carpentry — wall frames, roof trusses, subfloor work — is usually priced as part of a larger build and invoiced in stages, the same way a builder invoices progress claims. If you're working under a head contractor on a residential build, your invoice should reference their purchase order or job number, and your payment terms should match your subcontract agreement.
Finish carpentry — custom joinery, built-in wardrobes, decking, pergolas, door and architrave installation — is typically a standalone job invoiced directly to the homeowner once the work is complete, or split into a deposit and a final payment for larger jobs.
Knowing which category a job falls into determines how you structure the invoice: a running progress claim with retention and contract references, or a straightforward itemised invoice with a deposit and balance.
Materials markup for carpenters
Most carpenters add a markup to the cost of timber and hardware to cover handling, wastage, and the trips to the supplier that don't get billed as labour. There's no fixed rule — many tradies land somewhere around 10–20% on materials — but two things matter more than the exact percentage:
- Disclose it upfront. Mention your materials markup in your quote so it's not a surprise on the invoice.
- Show it as part of the line item price, not as a separate hidden fee. E.g. "Supply of merbau decking boards — $48/lm" already includes your markup, rather than adding an unexplained "materials handling fee" line.
How to invoice for common carpentry jobs
Here are sample line items for jobs carpenters bill every week. Adjust pricing and quantities to suit your rates and the scope of the job.
Timber decking
- Supply and install [timber species] decking, [area] m²
- Sub-frame, joists and footings
- Balustrade and handrail (if required by height above ground)
- Labour — [hours] hours
Wall framing (subcontract to a builder)
- Supply and install timber wall framing per approved plans — as per purchase order [number]
- Labour — licensed carpenter, [hours] hours
- Reference to head contractor's job number
Custom joinery / built-in wardrobe
- Design and manufacture of custom [item], [dimensions]
- Supply of [material] and hardware (hinges, runners, handles)
- Installation and fitting on site
Pergola or outdoor structure
- Supply and install [material] pergola, [dimensions]
- Footings and post installation
- Council permit lodgement (if applicable)
General carpentry repairs and small jobs
- Call-out fee (if applicable)
- Supply of materials — [description]
- Labour — [hours] hours at $[rate]/hr
How to handle GST on carpentry invoices
If you're registered for GST, you charge 10% on top of both labour and materials — including any markup you've added. Your invoice must show the GST amount separately from the subtotal, followed by the total amount due.
If your turnover is under the GST registration threshold of $75,000 and you haven't voluntarily registered, don't add a GST amount at all — and don't use the words "Tax Invoice" on your invoices, since that label is reserved for GST-registered businesses.
Note: If you're subcontracting to a builder or head contractor, check whether your invoice needs to reference their purchase order or job number before GST is applied — most builders won't process a payment claim without one, regardless of how correct the GST breakdown is.
Common invoicing mistakes carpenters make
- Not disclosing materials markup upfront — leads to disputes when the client compares your invoice to a hardware store receipt.
- Mixing structural and finish carpentry pricing models — a framing job billed like a small joinery job (or vice versa) confuses clients and slows down approval.
- Skipping the purchase order or job number on subcontract invoices — a common reason head builders bounce claims back.
- Vague descriptions — "Carpentry work" tells the client nothing. Itemise materials and labour separately.
- Forgetting the GST breakdown — see our GST calculation guide for the two quick formulas.
- Using paper dockets or spreadsheets on site — easy to lose, and slower to turn into a proper Tax Invoice once you're back at the ute.
Invoice like a professional carpenter — for free
TradesBill is a free invoice app for tradies. Add your ABN, licence number, and bank details once — then create ATO-compliant Tax Invoices on site in under 60 seconds. Free forever, works offline.
Create your first invoice — FreeFrequently asked questions
Do I need a licence to invoice as a carpenter?
It depends on your state and the type of work. General carpentry and joinery often don't require a specific trade licence, but structural or building work above a certain value usually does. Check with your state's building licensing authority for the exact rules that apply to your work.
Do I need an ABN to invoice as a carpenter?
Yes. To invoice as a business in Australia you need an ABN — without one, your customers are required to withhold 47% of the payment and send it to the ATO. Register for free through the Australian Business Register.
Can I charge a callout fee?
Yes, as long as it's disclosed in your quote or terms before the job starts. Show it as its own line item on the invoice so the client can see exactly what it covers.
How much can I markup materials?
There's no set rule — it's a commercial decision. What matters for invoicing purposes is that the markup is disclosed upfront and reflected honestly in your line item pricing, not hidden as an unexplained fee.
Should I invoice a deposit before starting a joinery job?
It's common practice for custom joinery and larger carpentry jobs, especially where materials need to be ordered upfront. A deposit of 20–50% is typical, but always set this out in your quote before work begins.