When hiring a landscape contractor, understanding how contract payments work is an important part of the project. A clear payment structure helps protect both the homeowner and the contractor while ensuring the project moves forward smoothly.
Deposit Payment
Most landscape contractors require an initial deposit when the contract is signed. This deposit secures the project on the contractor’s schedule and helps cover the cost of materials, equipment, and initial labor. Deposits commonly range between 10% and 50% of the total project cost, depending on the size and complexity of the project.
Progress Payments
For larger landscaping projects, payments are typically divided into progress payments. These payments are made at different stages of the project as work is completed. This structure allows homeowners to pay for work that has already been performed while helping contractors maintain steady project progress.
Examples of progress payment stages may include:
After site preparation and grading
After installation of hardscape features such as patios or retaining walls
After irrigation systems or planting installation
Near project completion
Final Payment
The final payment is usually made once the project is completed and the homeowner has reviewed the finished work. This payment confirms that the landscaping has been installed according to the contract and agreed-upon design.
What Should Be Included in a Payment Agreement
A professional landscaping contract should clearly outline:
Total project cost
Payment schedule
Deposit amount
Payment methods accepted
Timeline for each payment stage
Any additional costs or change orders
Why a Clear Payment Schedule Matters
A well-defined payment schedule helps prevent misunderstandings, keeps the project organized, and ensures both the homeowner and contractor understand their responsibilities throughout the landscaping project.
By reviewing the contract carefully and agreeing on a clear payment structure, homeowners can move forward with their landscaping project with confidence. 🌿🏡
—————— Example
1. For the small Project under $20,000
a. A 50 % Deposit in the total amount ” Estimated ” upon signing ( Hold Job Schedule )
b. A Progress Payment of 25% Total ” Estimated ” When the job completed 50% ( Notify by contractor )
c. A Progress Payment of 25% total ” Estimated ” Due upon receipt after the job is completed.
2. Medium Projects ($20,000 – $60,000)
Often broken into three payments:
30–50% deposit when estimate is accepted
Progress payment when work begins or halfway through
Final payment at completion
3. Larger Landscape Construction Projects ( $60,000K +++)
For patios, retaining walls, full yard installs, etc.:
Example schedule used by some Colorado landscape companies:
10% at contract signing
20% at project start
30% at 50% completion
30% at 90% completion
10% final payment after completion/acceptance
These milestone payments reduce risk for both the contractor and the homeowner.