Interior designers use different payment structures based on the project type, client budget, and scope of work. Here’s how payments are typically handled in interior design.
1. Common Payment Methods for Interior Designers
✅ 1. Advance Payment (Booking Fee) 💵
✔ Most designers take 10% – 30% upfront before starting work.
✔ Covers initial consultation, concept development, and project planning.
✔ Non-refundable in most cases.
💡 Example: A ₹10 lakh project may require an advance payment of ₹2 lakh (20%).
✅ 2. Payment in Installments (Milestone Payments) 🏗️
✔ Payment is divided into phases (design, approvals, execution).
✔ Ensures steady cash flow and client commitment.
💰 Typical Payment Schedule:
1️⃣ 10% – 30% Advance (Before design starts)
2️⃣ 30% – 40% During Design Phase (After concept approval)
3️⃣ 30% – 40% During Execution Phase (When work begins on-site)
4️⃣ Final 10% – 20% On Project Completion
💡 Tip: Always mention payment milestones in your contract to avoid disputes.
✅ 3. Per Square Foot Billing 📏
✔ Charges are based on total area of the project.
✔ Clients pay per sq. ft. as work progresses.
💰 Example Rates:
- Basic Interiors: ₹500 – ₹1,500 per sq. ft.
- Luxury Interiors: ₹3,000 – ₹5,000 per sq. ft.
🔹 Example Calculation:
For a 1,000 sq. ft. apartment at ₹1,500 per sq. ft., the client pays ₹15 lakh, split across milestones.
✅ 4. Percentage-Based Payments (%) 📊
✔ A percentage of the total project cost is charged.
✔ Common for high-end or turnkey projects.
💰 Typical Rates:
- 10% – 15% for mid-range projects.
- 15% – 30% for luxury projects.
🔹 Example:
If the project cost is ₹50 lakh, and you charge 15%, your fee = ₹7.5 lakh, paid in installments.
✅ 5. Fixed Fee or Lump Sum Payment 💼
✔ A one-time fixed amount is charged for the full project.
✔ Used for consultations, small projects, or styling services.
💰 Example Rates:
- 1BHK: ₹50,000 – ₹1.5 lakh
- 2BHK: ₹1.5 lakh – ₹3 lakh
- 3BHK: ₹3 lakh – ₹5 lakh
💡 Best For: Interior designers offering fixed-scope services like furniture selection and decor styling.
2. How Do Interior Designers Accept Payments?
✔ Bank Transfers (NEFT/RTGS/IMPS) – Safe & widely used.
✔ UPI Payments (Google Pay, PhonePe, Paytm) – Fast & convenient for small payments.
✔ Cheque or Demand Draft (DD) – Used for large transactions.
✔ Credit/Debit Cards – Some designers accept card payments.
✔ Cash Payments – Allowed but should be legally documented.
💡 Tip: Always issue a payment receipt to clients for transparency.
Final Thoughts: How Should Interior Designers Charge Clients?
✅ Take 10% – 30% advance before starting.
✅ Use milestone-based payments for large projects.
✅ Offer per sq. ft. or percentage-based pricing for flexibility.
✅ Accept payments via bank transfer, UPI, or cheque.
Would you like help creating a pricing contract for your clients? 😊