A quote is a fixed price the customer can hold you to; an estimate is an informed approximation that can change as the job unfolds. Confusing the two is how tradies end up doing extra work for free or arguing with customers over the final bill — so it’s worth being clear on which you’re giving.
What a quote is
A quote is a firm, fixed price for defined work. Once the customer accepts it, that’s the price — you’re committing to deliver the described work for that amount. Quotes suit jobs where the scope is clear and you can accurately predict the labour and materials. The upside for the customer is certainty; the upside for you is that efficiency rewards you.
What an estimate is
An estimate is your best-guess approximation of what a job will cost, given what you know so far. It’s not binding, and it’s the right tool when the full scope isn’t clear — you can’t see behind the wall yet, the job might uncover surprises, or the work is open-ended. The customer gets a ballpark; you keep flexibility.
Why the distinction protects you
If you give a “quote” on a job full of unknowns and then hit complications, you’re locked into a price that no longer covers the work. If you give an “estimate” but the customer believed it was a fixed quote, you’ve got a dispute at invoice time. Being explicit about which you’re providing — and making sure the customer understands — prevents both.
Say which one it is, in writing
The simplest protection is to label it clearly and put it in writing. An estimate should say it’s an estimate and note that the final price may vary. A quote should state it’s a fixed price for the described scope. Clarity up front saves an argument later.
Doing both properly
Good job software lets you send a clearly-labelled estimate for the uncertain jobs and a firm quote for the defined ones, each with the right wording built in. TradieO handles estimates and quotes as distinct documents — so the customer always knows exactly what they’re agreeing to, and you’re protected either way.
Frequently asked questions
Can I turn an estimate into a quote later?
Yes — that’s common. You estimate up front, and once the scope is clear (or the wall’s open), you firm it into a fixed quote.
Is a quote legally binding?
Once accepted, a quote is generally a binding agreement to do the work for that price. That’s why you only quote when you’re confident in the scope.
What if the job changes after I’ve quoted?
Genuine changes to scope — extra work the customer requests — are variations you can charge for. Document them and get agreement before proceeding.