Guide
Quote vs estimate: what is the difference?
Customers often use the words as if they mean the same thing. They do not, and mixing them up is how arguments about the final bill start.
Updated · General information, not legal advice. Check your contract, the official source and, if it matters, a lawyer.
The short answer
| Item | Quote | Estimate |
|---|---|---|
| What it is | A fixed price for a set scope of work | Your best guess at the cost |
| Can the price change? | Not unless the scope changes, and the change is agreed | Yes, the final bill can be higher or lower |
| Binding? | Once accepted, it forms part of the contract | Not legally binding as a price |
| Use it when | You have seen the job and can price it properly | You can't see what you are dealing with yet |
Queensland's Business Queensland guidance puts it plainly: unlike quotes, estimates are not legally binding, and once a customer goes ahead with a quote it forms part of a legally binding contract between you.
When to quote
Quote when you can see and measure the work: a new hot water unit, a switchboard upgrade, a bathroom retile, a fence. A fixed price is what most homeowners want, and it is easier to accept. It also puts the risk on you, so price the unknowns in or list them as exclusions.
If you quote, keep the scope tight. "Replace kitchen tap" is not a scope. "Supply and fit one mixer tap (customer choice up to the listed price), disconnect and dispose of the old tap, test for leaks" is.
When to estimate
Estimate when you cannot know the work until you start: a fault you have to find, a leak behind a wall, an old house where you do not know what is in the ceiling. Say clearly it is an estimate, what it is based on, and what would make it go up.
Even an estimate should be made with care. Consumer law expects you to use your skill and experience, and a bill far above your estimate with no explanation is how complaints to Fair Trading start. If the job is going over as you work, stop and tell the customer before you carry on.
A middle path that customers like: a fixed price for the part you can see, and an hourly rate with an upper limit for the part you cannot, with a promise to call before going past it.
What to put in writing either way
Consumer Affairs Victoria's guidance for tradespeople says to tell the customer whether your price covers transport to and from the job, time getting materials, the materials themselves, labour and apprentice costs and how they are worked out, call-out fees, and any weekend or public holiday rates. It also says to agree up front how changes, delays and late payment will be handled, and to keep a record of the quote and any conversations about cost.
Checklist for a quote or estimate
- Your business name, ABN and contact details
- The date, a quote number and when the price expires
- The scope in plain words, and what is not included
- Lines for materials and labour, and the total
- Whether prices include GST
- Call-out, after-hours and weekend rates, if they could apply
- How changes will be priced and agreed
- Payment terms and how to pay
- How to accept
Business Queensland also recommends an expiry date, because without one you may have to honour an old price that has since lost you money. For home building work, your state may have extra rules about written contracts and deposits; check your state's building regulator before you start.
When the job changes
If the customer asks for more, or you find something nobody could have seen, the quote no longer covers the work. Price the change and get it agreed before doing it, in writing. On building work that is a variation; how to write a variation covers what to include.
Doing it in the app
In Crewzy a quote has an expiry date, notes for the customer and your terms, and the customer accepts online or asks a question on the quote itself. You can turn on a reminder so the customer is nudged three days before it expires. An accepted quote becomes the job, lines and all. See Quotes.
Common questions
Is a quote legally binding?
Once the customer accepts it, a quote generally forms part of the contract between you, so the price is fixed for the work described. Estimates are not legally binding as a price. This is general information, not legal advice.
Can I charge more than my quote?
Only if the work changes from what was quoted and the customer agrees to the change. Price it and get it agreed in writing before doing the extra work.
Can the final bill be higher than an estimate?
Yes, an estimate can change, but it should be made with care and skill. If the job is going over, tell the customer before carrying on.
Sources
Official pages this guide relies on, read on 23 October 2026. Rules change; check them before you rely on anything here.