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How to use
- Enter Total payment days.
- Enter Paid invoices.
- Calculate, then review the period, scope and assumptions before using the result for pricing or planning.
How it is calculated
Average days = total payment days ÷ paid invoices
Example
A total of 360 payment days across 12 paid invoices gives an arithmetic average of 30 days from the measurement point used for each invoice.
Important notes
Use one consistent starting point such as invoice date or due date; mixing definitions makes the average hard to compare across clients or periods.
Worked examples and interpreting results
| Case | Calculation | Result |
|---|---|---|
| Average days | 360 ÷ 12 | 30 |
| Invoices | 12 | 12 |
Frequently asked questions
Should unpaid invoices be included?
This formula uses paid invoices only; analyze unpaid invoices separately with aging or current overdue days.
Is the result a mandatory client price?
No. It is a planning result from your inputs; final pricing depends on scope, market, contract, taxes and risk.
Should I use monthly or annual figures?
Keep all inputs on the same period so annual income is not mixed with monthly hours or expenses.