Advice When Using a Time and Materials Contract Template

When hiring or working as a service provider, you must deal with both time and materials. These add to the costs of a service or construction project, and they need to properly be addressed in a written contract. A time and materials contract template gives you a convenient place to address all of the questions and concerns that can come up over the course of a service job concerning deadlines and materials.

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PDF Template - time and materials contract template

In This Section, We’ll Cover:


  • Parts of a Time and Materials Contract
  • Clauses to Include
  • Descriptions to Include
  • Best Practices for a Time and Materials Contract
  • Collect Signatures to Finalize the Deal

Parts of a Time and Materials Contract

A time and materials contract has several parts, many of which you can customize for your particular project. These include:

  • Date
  • Names of the serivce provider and client
  • Scope of the services
  • Address of the property
  • Restrictions and elements of the project
  • Détails de paiement
  • Date limite
  • Termination terms
  • Governing law
  • Signatures

Clauses to Include

When writing a time and materials contract, these are some of the clauses you should consider including:

  • Consideration/Compensation Clause This clause outlines the details of the payment terms and what is considered a satisfactory conclusion of the job. If payments are sent monthly during the project, the invoice and payment schedule are in this section, as well as any late fees that get charged.
  • Completion and Deliverables Clause – This clause indicates the deadline for the completed project.
  • Termination Clause – Should the work agreement need termination before the end of the agreement period, this clause outlines how the termination can take place and who can terminate it.
  • Independent Contractor Clause – With the independent contractor clause, both parties agree that the device provider is not an employee and does not get the rights of an employee.
  • Confidentiality and Property Rights Clause – contract work often means access to confidential documents, and this clause requires the service provider to keep these private. It also states that the client retains property rights to the property during the construction.
  • Indemnification and Release Clause – This clause releases the client from liability, loss, and other damages during the course of the project.
  • Access Clause – In this clause, the property owner agrees to give the service provider access to the property as needed to perform the job.
  • Exclusivity and Subcontractor Clauses – A time and materials contract should not be exclusive, and this clause indicates that fact while also giving the contractor permission to hire subcontractors as needed to complete the work.
  • Dispute Resolution Clause – Here you state how disputes regarding the contract are handled, including which state oversees those disputes.
  • Amendments Clause This clause indicates that all amendments to the contract must be made in writing.

Descriptions to Include

Several areas of the time and materials contract template are customizable to add the details of your project. Be as thorough as possible in each of these areas. Some of the descriptions you will need include:

  • Scope of the Services – This is where you outline what you are and are not including for services. Anything not outlined here requires a new contract.
  • Restrictions and Elements – This area gives you the chance to outline the elements of the project in more detail, as well as any restricted parts.
  • Fournitures et matérielThoroughly outline what supplies the client will provide, and what supplies the service contractor will provide.

Best Practices for a Time and Materials Contract

When customizing your time and materials contract template, consider these best practices:

  • Include the forms of payment accepted in the consideration and compensation section.
  • Add the addresses for both parties to ensure communication is delivered appropriately. 
  • Include processes for disputes about invoices in the contract.
  • Add a section for force majeure. It’s possible that a natural disaster or even an illness can prevent the service provider from completing the job, and this section outlines how that will be handled.
  • Collect signatures using Nitro Sign to make the contract legally binding.

Collect Signatures to Finalize the Deal

After completing the customization of your time and materials contract template, send it securely to all parties using Nitro Sign. The platform also makes collecting signatures simple. Try it for free today.

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